According to information released by the European Commission, on July 4th local time, nine months after initiating an anti-subsidy investigation, the European Commission imposed provisional countervailing duties on electric vehicles imported from China.
According to the investigation, the European Commission concluded that the value chain of Chinese electric vehicles benefits from unfair subsidies, posing a threat of economic damage to EU electric vehicle manufacturers. The European Commission's investigation also examined the potential consequences and impacts of these measures on EU electric vehicle importers, users, and consumers.
The tariffs imposed by the EU on the three sampled Chinese car manufacturers are as follows:
BYD: 17.4%
Geely: 19.9%
SAIC: 37.6%
Other Chinese electric vehicle manufacturers that cooperated with the investigation but were not sampled will be subjected to a weighted average tariff of 20.8%.
Non-cooperating enterprises will be subjected to a tariff rate of 37.6%.
These provisional tariffs will be implemented starting July 5, 2024, and will last for a maximum of four months. During this period, EU member states must vote to make a final decision on the tariffs. Once the decision is passed, the duration of these tariffs will be extended to five years.
