France, Greece, Italy and Poland to Vote on Tariffs for Chinese Electric Vehicles - EU Proposal in Focus
By Philip Blenkinsop
BRUSSELS (Multibagger) - In a move that is set to increase trade tensions with Beijing, France, Greece, Italy, and Poland are gearing up to vote on tariffs of up to 45% on imports of electric vehicles (EVs) made in China, as per officials and sources. The European Commission, currently conducting an anti-subsidy investigation into Chinese-made EVs, has submitted its proposal for final tariffs to the EU's 27 member states ahead of the expected vote on Friday.
According to EU regulations, the Commission can impose final tariffs for the next five years unless a qualified majority of 15 EU countries representing 65% of the EU's population votes against the plan. France, Greece, Italy, and Poland are expected to vote in favor, collectively representing 39% of the EU population.
The Commission retains the option to submit a new, revised proposal if deemed necessary. Negotiations with China are ongoing, with potential alternatives such as minimum import prices based on specific criteria like range, battery performance, and drive configuration being discussed. Another option under consideration is a commitment to invest in the EU, with quotas for a transitional period.
The proposed tariffs range from 7.8% for Tesla to 35.3% for companies like SAIC that are perceived to have not cooperated with the EU investigation. These tariffs would be in addition to the EU's standard 10% import duty for cars.
In summary, the potential imposition of tariffs on Chinese-made EVs by the EU could have significant implications for the global electric vehicle market and trade relations between the EU and China. Investors and consumers in the EU should closely monitor developments in this space, as it may impact the availability and pricing of electric vehicles in the region.