The European Union has decided to impose higher tariffs on Chinese electric vehicles, increasing rates from 10% to up to 45% for the next five years, as part of an effort to protect its car industry from Chinese state-backed competition. While countries like France support the move, others like Germany are concerned about potential trade tensions with China. The situation highlights growing challenges in the global electric car market.
The European Union has voted to impose significant tariffs on electric vehicles imported from China, with duties set to increase from 10% to as much as 45% over the next five years.
The move, backed by countries like France, Italy, the Netherlands, and Poland, aims to shield the European car industry from Chinese state-backed competition, which the EU claims undermines fair trade.
Conversely, Germany and several German car manufacturers, including Volkswagen, opposed the tariffs, citing fears of a trade war with China.
China's Commerce Ministry criticized the decision and called for dialogue to resolve the issue.
The dispute stems from concerns over China's expanding electric vehicle market, with brands like BYD entering international markets.
The European car market is also grappling with its own challenges; in the UK, despite record demand for electric cars in September, manufacturers are struggling to meet ambitious government targets due to economic constraints and inadequate charging infrastructure.