The European Commission has today officially imposed anti-subsidy duties on electric vehicles (EV) imported from China, forcing manufacturers to put aside funds to pay for the tariff hikes.
On June 12, the European Commission announced that it would apply provisional countervailing duties on Chinese-made EVs based on the results of its nine-month investigation into the levels of state subsidies received by different Chinese or China-based carmakers. This unfair support, it believes, results in hefty distortions in the European market.
The move by the Commission followed a May 14 declaration by the United States which said it will increase tariffs on Chinese EVs and certain hybrids to 100% from August 1.
The new European duties, which are set to be added to the existing 10% tariff, will apply to BYD: 17.4%; Geely: 19.9% – revised down from the provisional 20%; and SAIC: 37.6% – revised down from 38.1%.
Other EV manufacturers in China, which cooperated in the investigation but were not sampled, are subject to the 20.8% weighted average duty. The duty for other non-cooperating companies is 37.6%.
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