Published on 30 May 2024 on Zacks via Yahoo Finance
EU-China on the Brink of a High-Stake Tariff Clash for EVs
The electric vehicle (EV) market is fast becoming a new battleground for international trade, with the European Union (EU) and China facing a trade tariff showdown. Two weeks ago, the U.S. government quadrupled tariffs on China-made EVs to 100%, in a move aimed at countering what it sees as unfair pricing practices by Chinese manufacturers and protecting American jobs.
This aggressive stance has put pressure on the EU to consider similar measures. The EU is expected to announce a provisional list of import duties on Chinese EVs early next month, following an investigation — which began in October 2023 — into whether Chinese carmakers are benefiting from market-distorting subsidies in a way that harms European manufacturers.