The European Union confirmed on Wednesday that it will impose higher tariffs on imports of Chinese electric vehicles, which it found to benefit "significantly from unfair subsidies" and pose a "threat of economic damage" to electric vehicle producers in the EU. The EU decided to impose tariffs of up to 38% on imports of Chinese-made electric vehicles, which investigations revealed are significantly supported by the government in Beijing.
The EU stated that it imposed a tariff of 38.1% on battery electric vehicle (BEV) manufacturers who did not cooperate in the EU investigation, and a lower tariff of 21% on car manufacturers from Asian countries that complied but were not "sampled." A tariff of 17.4% was imposed on the leading Chinese electric vehicle producer BYD, while Geely faced a 20% tariff. The EU also levied a tariff of 38.1% on SAIC.
For its part, Beijing stated that the increased tariffs that the EU is preparing to impose on imported electric vehicles from China represent a "protectionist" practice that would harm European interests as well. Chinese Foreign Ministry spokesperson Lin Jian expressed regret during his regular press conference that "the EU uses this as a pretext to impose tariffs on imported electric vehicles from China."
Lin stated, "This contradicts market economy principles and international trade rules, undermining economic and trade cooperation between China and the EU, as well as the stability of global car production and supply chains. Ultimately, this will harm the interests of the EU itself."
