EU to vote on import taxes on Chinese electric cars

Later, a crucial European Union ( EU) vote is scheduled to be held to decide whether to impose high taxes on China’s imports of electric vehicles.

The introduction of tariffs is intended to stop what EU officials believe are cruel Chinese-state subsidies for its own cars, and to guard the European car industry from being hampered by it.

If EU members support the proposals, charging rates of up to 45 % could be applied to electric vehicles made in China for the next five years. However, there have been concerns that this would raise electric vehicle ( EV ) prices for buyers.

The selection also runs the risk of stoking a trade war between Beijing, which has criticized the levies as being unfair.

China has relied on high-tech goods to revive its sluggish economy, and the EU is the biggest international marketplace for the nation’s electrical car industry.

Over the past 20 years, China’s domestic vehicle industry has grown rapidly, and its car brands have begun entering foreign markets, posing as a threat to their own businesses as a result of the EU’s concern that they will be able to compete with the lower prices.

In the summer, the EU imposed trade tariffs of various degrees on various Chinese manufacturers, but Friday’s vote will determine whether they are implemented.

The costs were determined based on estimates of the amount of Chinese state aid each company has received as a result of an EU research. The German Commission established specific tasks for the three main Chinese electric vehicle companies: SAIC, BYD, and Geely.

Statistics show that in August this year, EU registrations of battery-electric cars fell by 43.9 % from a month earlier.

Demand for new electric automobiles in the UK reached a new report, but sales, according to the business system, were primarily driven by business deals and significant manufacturer discounts.

Union people remain divided on taxes. Germany, whose car-manufacturing market is heavily reliant on exports to China, is doubtful to vote in favour of them.

European carmakers have been outspoken in opposition. Ford has said they are” the wrong method”.

But, France, Greece, Italy and Poland are likely to vote in favour of the transfer fees. The EU’s plan can only be withdrawn if a qualified majority of the 15 members cast a ballot against it.

Regardless of the outcome of the vote, SAIC, which owns the MG company, announced on Friday that it would not modify the price tags of its electric cars this time.