Fastest News Updates around the World

EU Official Says Imposing Tariffs on Chinese Electric Cars ‘Very Far,’ Despite Subsidy Investigation


- Advertisement -

The European Union Investigates Chinese Electric Cars for Subsidy Concerns

- Advertisement -

The European Union is currently conducting an investigation into subsidies provided by China to its electric car manufacturers. Despite this probe, the EU official stated that imposing import tariffs on Chinese electric cars is not imminent.

Maroš Šefčovič, a vice president at the European Commission, emphasized the importance of conducting fair investigations before considering any import duties. He made these remarks in an interview with Visegrad Info 24 on Tuesday.

The European Commission’s surprise announcement of the anti-subsidy probe last week focused on the electric vehicle (EV) market in China. The EU suspects that significant state subsidies are causing Chinese electric cars to flood the European market, resulting in artificially low prices.

China’s ministry of commerce expressed strong dissatisfaction and high concern regarding the EU’s actions. They vowed to closely monitor the EU’s protectionist tendencies and protect the rights and interests of Chinese enterprises.

The commission expects the anti-subsidy probe to last up to 13 months, with provisional measures potentially imposed within nine months and definitive measures within four months if deemed necessary.

While the investigation unfolds, Šefčovič highlighted the need to ensure the competitiveness of the European car industry. He emphasized Europe’s pride in manufacturing the best, safest, and cleanest cars.

China-made electric cars currently account for 8% of sales in Europe, a figure that European officials predict could reach 15% by 2025. Additionally, Chinese EVs are approximately 20% cheaper than their European counterparts.

The EU is intensifying its focus on the EV market as it aims to ban the sale of new diesel vehicles by 2035. Šefčovič is actively engaging with battery sectors and car manufacturers to support the rollout of more EV models and strengthen the European and global markets.

Importantly, the EU already imposes a 10% duty on all imported cars, whereas the United States has a higher duty rate of 27.5%.

Leave a Reply

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More