acf domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /home/ecg/ecgassociationdev/wp-includes/functions.php on line 6121Automotive News Europe — 2024-06-12
Automotive Industry
The decision would follow less than a month after the US quadrupled duties for Chinese EVs to 100%.
The European Commission will apply high additional duties on electric vehicles exported to the European Union from China starting next month (July 2024), reports said.
The Commission is expected to increase duties on the four largest Chinese manufacturers to up to 25%, in addition to imposing two further tiers on other producers, the Guardian newspaper reported.
The Commission will apply the tariffs because of what it says are excessive subsidies, the Financial Times reported, citing people familiar with the matter.
The tariffs are expected to be implemented around 4 July 2024.
The higher import duties for Chinese automakers such as BYD and Geely — up from a current 10% — will hit some Western automakers too, including Tesla, BMW, Mercedes-Benz and Renault.
Tesla ships the Model 3 from Shanghai to Europe, while BMW exports the iX3 electric SUV and models from its Mini brand. Mercedes-Benz builds Smart cars in China and Renault's Dacia Spring electric minicar is made in China. China's foreign ministry said the Chinese government will take all measures to "firmly defend" its lawful rights and interests.
China's reaction
The EU expects China to retaliate with counter with import duties on goods such as French cognac and dairy products.
Any additional EU tariffs on Chinese EVs would violate market economy principals and will eventually undermine Europe's own interest, spokesperson Lin Jian said at a regular press conference on Wednesday, 12 June 2024.
The EU's move comes as European automakers are being challenged by an influx of lower-cost EVs from Chinese rivals.
China has rebuked the EU over the anti-subsidy investigation, urged cooperation and lobbied individual EU countries, but not fully spelt out what its response to tariffs would be.