The European Commission (EC) on Thursday introduced temporary additional tariffs on imports of battery electric vehicles from China due to ‘unfair’ subsidies to manufacturers, with these temporary tariffs ranging from 17.4% to 37.6%, as stated in the Commission’s announcement.
– Nine months after initiating an anti-subsidy investigation ex officio, the European Commission has imposed temporary compensatory duties on imports of battery electric vehicles from China – the statement reads.
The Commission concluded based on the investigation that Chinese manufacturers of battery electric vehicles (BEVs) “benefit from unfair subsidization which may lead to economic harm to EU electric vehicle manufacturers.” During the investigation, the likely consequences and effects of these measures on importers, users, and consumers of electric vehicles in the EU were also examined, the statement notes.
The Commission lists individual tariffs that will apply to three Chinese manufacturers in the sample.
Thus, a tariff of 17.4% will apply to BYD electric cars, 19.9% to Geely, and 37.6% to SAIC.
Other manufacturers in China that cooperated in the investigation but were not included in the sample are subject to a weighted average tariff of 20.8%.
The tariff for other companies that do not cooperate is 37.6%, the statement notes.
These temporary duties, the Commission explains, are slightly lower than those announced on June 12, based on “comments on the accuracy of calculations provided by interested parties.”
The European Commission announced on June 12 its intention to impose temporary tariffs on imports of electric cars from China, mentioning a range of 17.4% to 38.1%, instead of the current 10%.
– The temporary duties will apply from July 5, 2024, for a maximum of four months. During this period, a final decision on the duties must be made by a vote of EU member states – the statement notes, adding that once this decision is adopted, it will apply for five years.
The Commission emphasizes that consultations with the Chinese government have intensified in recent weeks following discussions between Executive Vice-President Valdis Dombrovskis and Chinese Minister of Commerce Wang Wentao.
– Contacts continue at a technical level with the aim of achieving a solution compliant with the World Trade Organization (WTO), which appropriately addresses the issues raised by the European Union. All agreed outcomes of the investigation must be effective in addressing identified harmful forms of subsidization – the statement concludes.
