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The Markets
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The Markets
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Manufacturing & engineering

European Commission brings in Chinese EV tariffs as members split in vote

The European Commission has passed rules to impose tariffs of up to 35.3% on imported electric vehicles from China after members reportedly failed to decisively vote on the move.

France and The Netherlands were said to be among 10 countries to vote in favour of the rules, as 12 abstained and five, including Germany, rejected the move, Euronews reported.

This meant it was up to the European Commission in Brussels to ultimately decide whether to approve the new rules, which will come into force in November.

These proposals have come in response to fears that Chinese manufacturers are able to undercut European firms due to subsidies offered by Beijing.

The Commission has previously warned that inaction could see European carmakers suffer irreversible losses through attempts to compete with Chinese firms on the continent.

Some electric car makers will be hit with tariffs of up to 35.3% under the rules, on top of an existing 10% levy.

Others, which were said to have “cooperated” with the European Commission, will be charged less.

Tesla Inc (NASDAQ:TSLA) will face a 7.8% tariff as a result, as China’s BYD Co (HKG:1211, LSE:0HKY, OTCQX:BYDDY) and Geely are charged 17% and 18.8% respectively.

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