The European Union has imposed duties on imports of electric vehicles from China due to a trade dispute over Chinese government subsidies and exports of green technology. The Commission found that Chinese-built electric cars were unfairly undercutting EU industry prices, leading to the imposition of tariffs on manufacturers such as BYD, Geely, and SAIC. The tariffs range from 17% to 35.3% for Chinese manufacturers, while Western companies like Volkswagen and BMW face a 20.7% duty. Tesla will see a rate of 7.8%. China’s Commerce Ministry has objected to the measures, calling them protectionist and unfair. The imposition of tariffs has faced opposition in Germany, the largest economy in Europe and home to major automakers, who fear a trade conflict and job losses. The EU argues that China’s subsidies across the production chain have fueled its market share in the EU, jeopardizing the bloc’s ability to produce its own green technology and threatening millions of auto industry jobs. The EU remains open to a WTO-compliant alternative solution while standing up for fair market practices. The tariffs entered into force as of midnight, with the hope of finding an amicable solution within the next five years.
Photo credit
www.nbcnews.com
Trade talks fail, resulting in E.U. imposing duties on electric vehicles from China
