EU threatens higher tariffs on Chinese electric cars

The European Commission on Wednesday said it would impose provisional duties of up to 38.1% on imports of Chinese electric vehicles after an investigation into subsidies.

However, Brussels said there might be time to resolve the issue ahead of the tariffs being imposed next month.

The provisional levies would vary between producers at 17.4% on BYD cars, 20% on Geely, and 38.1% on SAIC vehicles.

The subsidies cause the “threat of economic injury” to electric car producers in the European Union

Manufacturers that failed to cooperate with a commission investigation could be stung with import levies of 38.1%. 

The EU’s threat follows US punitive measures on Chinese electric car imports, with Washington raising tariffs to 100%.