Recently, three major Chinese electric vehicle giants-SAIC Motor, Geely Holding Group, and BYD-filed lawsuits against the European Union's anti-subsidy tariffs imposed on Chinese-made electric vehicles last year.
Documents on the EU Court's website show that the three companies submitted their legal filings just a day before the deadline for objections. The EU Chamber of Commerce in China (CCCEU) also announced that, on January 22, it had filed a complaint on behalf of the China Chamber of Commerce for Import and Export of Machinery and Electronic Products (CCCME), representing Chinese EV manufacturers.
The lawsuit stems from the EU's decision in October 2024 to impose anti-subsidy duties on electric vehicles made in China for a period of five years. According to the EU's ruling, BYD was slapped with a 17.0% tariff, Geely 18.8%, and SAIC Motor 35.3%. Other companies that cooperated with the investigation face a 20.7% tariff, while those that did not cooperate are subject to the highest 35.3% tariff.
The EU's anti-subsidy investigation began in September 2023, when European Commission President Ursula von der Leyen announced the probe, alleging that Chinese companies were unfairly lowering export prices through government subsidies, which posed unfair competition to European manufacturers. In July 2024, the EU imposed a temporary tariff on Chinese electric vehicles, and in October, a final decision was made.
SAIC Motor expressed strong dissatisfaction with the ruling, especially regarding the imposition of the highest tax rate. The company argues that the investigation involved sensitive commercial information and that the European Commission made errors in its determination of subsidies, overlooking critical information and defense points submitted by SAIC. The company has already contested the ruling by submitting questionnaires, written defenses, and making statements during hearings, and it plans to take further legal action.
Additionally, Chinese electric vehicle manufacturers have complained that Tesla China was treated separately and not included in the official sample, which resulted in Tesla China facing the lowest additional tariff. It is reported that the EU is Tesla China's largest export market, but Tesla's Chinese-made cars, due to a special review request, were subject to only a 7.8% tariff.
The European Commission has stated that it is aware of the relevant cases and has two months and ten days to prepare its defense. Meanwhile, technical discussions between the EU and China are ongoing, with both sides negotiating minimum prices for imported goods since September 2024.
