Employees work on the electric vehicle (EV) production line at the Zero Sports Car Factory in Jinhua, east China’s Zhejiang Province, on September 18, 2024.
Berry Boy | AFP | Getty Images
The European Union voted on Friday to impose final tariffs on Chinese-made battery electric vehicles (BEVs).
“Today, the European Commission’s proposal to impose clear countervailing duties on battery electric vehicles (BEVs) imported from China has received the necessary support from EU member states to adopt tariffs,” the EU said in a statement.
It added that the decision marks a step forward in the conclusion of the European Commission’s anti-subsidy investigation into China’s electric vehicles, which was launched in October 2023.
The European Union was the first to announce It will impose higher tariffs on Chinese electric car imports in June, arguing that the cars “significantly benefit from unfair subsidies” and pose a “threat of economic harm” to European electric car producers.
As part of the EU’s investigation into Chinese electric car production, tariffs on individual companies were also revealed, related to the extent of their cooperation and the information they provide to the EU.
The temporary tariffs were implemented from early July.
The then European Commission Revised tariff plan In September, based on “substantive comments on the provisional measures” from relevant parties.
A spokesman for the Chinese Ministry of Commerce told reporters that Beijing continue to believe said an investigation into subsidies in China’s electric vehicle industry had reached “preset conclusions,” adding that the EU was promoting unfair competition.
On Friday, the EU said it was still looking for other solutions even if the tariffs were adopted.
“At the same time, the EU and China continue to work hard to explore alternative solutions that are fully WTO compliant, adequate to address the harmful subsidies identified by the Commission’s investigation, monitorable and enforceable,” the report states.
divisions within the EU
The decision comes after months of debate and deliberation among EU member states, which expressed differing views on raising tariffs on imported Chinese-made electric vehicles.
While France has been a strong supporter of the EU and has previously pushed for the bloc to open an investigation into potential tariffs, Germany has argued against it, raising concerns about its consequences. Automakers in trouble themselves.
According to Reuters, Hungarian Foreign Minister Peter Szijjarto said on Thursday that Hungary would veto the European Commission’s proposal for tariffs of up to 45%.
Potential retaliation from China has been a major concern for some EU member states, especially as China has launched anti-dumping investigations into EU exports of pork and brandy, and launched countervailing investigations into EU dairy products.
—CNBC’s Ryan Browne contributed to this article.
