EU Threatens China EV with Tariffs of Up To 38%

EU Threatens China EVS With Tariffs Of Up To 38% - Merchant Navy Info - NEWS

Prices for Chinese electric vehicles may rise in the European Union after politicians described Chinese electric vehicles. As a threat to their industry. It “tentatively concluded” that Chinese electric vehicle (EV) makers will face tariffs. From July 4 if talks with Chinese authorities do not lead to an effective solution. The EU announcement comes as the EU continues its investigation into an alleged flood of cheap. State-subsidized Chinese cars into the trade bloc. China has argued that the tariffs violate international trade rules and called the investigation “protectionist.”

Electric vehicle makers that cooperated with the investigation launched in October by the ruling European Commission will have to pay an average of 21% tariff, while those that did not cooperate will have to pay 38.1% or 20%. Meanwhile, the special levy will be imposed on three companies: 

  1. BYD: 17.4D44 
  2. Geely: 20D44 
  3. SAIC: 38.1D44 

Non-Chinese automakers that produce some electric cars in China, including EU residents, will be subject to the tax as well, such as BMW. The European Commission said Tesla could be subject to an “individually calculated customs duty rate” based on a specific request. These tariffs would be in addition to the current  10% tariffs on all electric cars produced in China.

EU Intervention

The EU intervention comes after the US took a bolder step last month, increasing tariffs on Chinese-made electric cars from 25% to 100%. Why the EU may make Chinese electric cars more expensive Biden quadruples tariffs on Chinese electric cars. The decision was criticized not only by China but also by politicians and some industry representatives in the EU. Chinese Foreign Ministry spokesman Lin Jian said the “anti-subsidy investigation is a typical case of protectionism.” He added that the tariffs could also damage. 

“China-EU economic and trade cooperation, the stability of global auto production and supply chains.” The tariffs will be final from November unless a qualified majority of EU member states (15 countries representing at the least 65% of the bloc’s population) vote against them. German Transport Minister Volker Wissing said there was a risk of a “trade war” with Beijing. “The European Commission’s punitive tariffs are hitting German companies and their flagship products,” he wrote on X (formerly Twitter).


European Car Manufacturers’ Association ACEA said  “free and fair trade” was essential to ensure the competitiveness of the European car industry. But he added that this was only one piece of the puzzle in terms of how to encourage the uptake of electric cars. Mercedes-Benz and Stellantis (which includes Citroën, Peugeot, Vauxhall, Fiat and several other brands) also spoke out, stressing the importance of free trade.  

Stellantis said it did not support measures that “contribute to a global fragmentation (of trade)”. Some EU car companies  called for a bloc-wide industrial policy to counter global competition. More than 8 million electric vehicles were sold in China last year, about 60 percent of the global total, also according to the International Energy Agency’s annual World EV Outlook.

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