Since October, the EU's process of imposing tariffs on the Chinese electric vehicle industry has intensified, attracting global attention in the new energy vehicle market.
As previously reported, on October 4, EU member states voted in favor of imposing import tariffs of up to 45% on Chinese-made electric vehicles.
The EU will add tariffs of 35.3%, 18.8%, and 17% on SAIC Group, Geely, and BYD, respectively, on top of the existing 10% tariff; a 7.8% tariff will be imposed on Tesla's imported cars produced in China; additionally, a uniform tariff of 20.7% will be applied to other Chinese electric vehicle manufacturers cooperating with the EU investigation.
On October 15, many media outlets spoke with Bosch Group CEO Stefan Hartung regarding the EU tariffs. He stated, "A fair competitive environment is beneficial for both the EU and China. We must strive for fair competition. Issues arising from subsidies and regulations can be resolved through consultation and negotiation."
He also noted, "China's electric vehicles entering the EU market is advantageous for both sides. It is a natural process for German automakers to produce and sell in China, as well as for Chinese automakers to do the same in Germany and the EU."
So far, most Chinese car companies have responded calmly to the EU tariffs, with some domestic firms stating they "will not raise prices due to EU tariffs on electric vehicles for the time being."
For example, MG, a brand under SAIC Group, is set to face the highest tax rates in Europe, but its French branch indicated that the new additional tariffs would not affect electric vehicle prices sold in France this year.
Additionally, sources say BYD is also expected to maintain its pricing in Italy until the end of this year.
However, it is important to note that the statements from these Chinese automakers about not raising prices have a time limit. Over the long term, high tariffs will inevitably increase production costs for Chinese manufacturers, thereby affecting vehicle profits, potentially leading them to adopt cost-reduction measures.
Some Chinese car companies have even expressed intentions to establish local factories in certain European countries. For instance, when Dongfeng Motor was asked about potential factory sites in Italy on September 12, Ma Lei, the general manager of Dongfeng's international business division, said, "Many people are concerned about our plans to build factories in Europe, but we need to evaluate the overall situation, including customer needs. First, we need to focus on brand development and distribution."
Regarding Chinese car manufacturers evaluating the establishment of factories in Europe, Stefan Hartung emphasized that this move is significant and bold.
He also highlighted, "Of course, they may face different market conditions in Europe. Bosch hopes to follow our OEMs to Europe, providing them with the products they need, offering advice on when to rely on Chinese suppliers, when to depend on European suppliers, and when to shift from Chinese to European suppliers."
