EU Plans 9% Tariff on Tesla Cars as China EV Probe Advances
The European Union said Tuesday it plans to introduce an additional 9% tariff on Teslas imported from China, as it notified automakers of its draft decision to move forward with definitive tariffs on electric vehicles shipped from the country.
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The European Union said Tuesday it plans to introduce an additional 9% tariff on Teslas imported from China#ev #tesla #EuropeNews pic.twitter.com/ZWeHXkALQ8
— The_Journalbiz (@the_journalbiz) August 22, 2024
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The proposed tariffs have been revised, with MG maker SAIC Motor Corp., Volvo Car AB parent Geely, and BYD Co. each facing additional duties of 36.3%, 19.3%, and 17%, respectively — all slightly lower than previously announced.
For Tesla Inc., the 9% tariff is relatively welcome news, as it’s lower than what other manufacturers face. EU officials said one factor behind the calculation is that Beijing appears to provide fewer subsidies to foreign-owned companies.
Tesla asked the EU to be assessed on an individual basis and that request was granted earlier this year, with EU officials then visiting the company’s plants and receiving information that led to Tuesday’s determination.
Other companies that cooperated with the EU’s probe but weren’t surveyed by EU investigators — such as Dongfeng Motor Group Co. and Nio Inc. — would be hit with a 21.3% duty. Other non-cooperating manufacturers face a 36.3% tariff. The rates would be imposed on top of the 10% duties that exporters from China already are subject to.
