EU Slaps Tariffs on Chinese Electric Vehicles: Reactions and Implications

The European Union will implement provisional tariffs up to 37.6% on Chinese electric vehicle imports, escalating tensions with Beijing. EU officials emphasize the need for fair competition, while European carmakers like Volkswagen express concerns about potential negative effects. Dialogue between the EU and China continues as industry stakeholders react.

The European Union will impose provisional tariffs of up to 37.6% on imports of electric vehicles made in China from Friday, ratcheting up tensions with Beijing in the EU's largest trade case yet. Here are some reactions to the news:

EU TRADE CHIEF VALDIS DOMBROVSKIS "Obviously we are in consultation with member states now, also prior to imposition of those provisional duties and it's clear that member states are also interested to protect their automotive industries from unfair competition.

"Our aim is to ... ensure fair competition and a level playing field. Therefore, once again, we do not see any basis for retaliation. "Those talks with China are ongoing and indeed should a mutually beneficial solution emerge, we can also find ways not to apply at the end of the day the tariffs.

"But it is very clear this solution (would) need to solve that market distortion that we are currently having ... and it needs to be market compliant." EUROPEAN COMMISSION SPOKESPERSON

"What is clear is that what the EU wishes for is a solution. (...) The introduction of tariffs (...) is a means to correct an imbalance and unfair competitive situation to the detriment of producers of electric vehicles in the EU, compared to those who are producing vehicles in China." EUROPE'S BIGGEST CARMAKER VOLKSWAGEN

"The timing of the EU Commission's decision is detrimental to the current weak demand for BEV vehicles in Germany and Europe. "The negative effects of this decision outweigh any benefits for the European and especially the German automotive industry. The Volkswagen Group is confidently accepting growing international competition, including from China, and sees this as an opportunity - this also benefits our customers."

GERMAN AUTO ASSOCIATION VDA "Both China and the EU Commission must make every effort to find a solution through open and constructive dialogue. A potential global trade conflict must be averted.

"It is also a fact that global problems can only be solved with China. "China plays a decisive role in a successful transformation towards electromobility and digitalisation - a trade conflict would also jeopardise this transformation.

"What is needed is an approach that promotes the strengths of our industrial nation, develops the location to be internationally competitive, opens up new markets, focuses on innovation and thus secures our prosperity and growth." CHINESE EV MAKER NIO

"At this stage, NIO maintains the pricing of their current models in its European markets. However, it cannot be ruled out that prices may be adjusted at a later stage as a result of these tariffs being imposed. "Despite these developments, NIO is fully committed to the European market: we believe in fostering competition and consumer interest, and we hope to reach a resolution with the EU before definitive measures are enforced in November."

CHINESE EV STARTUP XPENG "All current consumers awaiting delivery and future customers placing orders before new tariffs take effect will be protected from any price increases.

"We are committed to proactively maintaining market competitiveness while minimising any potential impact on our current and future customers." MG MAKER SAIC'S COUNTRY MANAGER FOR ITALY ANDREA BARTOLOMEO

"For the moment we will not change prices of cars in our line-up" in Italy.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)