The European Commission – part-executive of the European Union (EU) – is expected to impose additional tariffs of up to 25% on imported Chinese electric vehicles (EVs) from July, according to a media report from the FT.
According to the media report, the tariffs will bring in more than two billion euros per year but not everyone is happy. Germany are reportedly against the tariff-increase due to fears of a trade war and global hikes on imported vehicles.
This rumoured implementation could affect Chinese automakers such as BYD, Geely and even Tesla which conducts manufacturing operations within China.
Half of all Tesla EVs are reportedly made in China – according to Inside EVs – which means the new tariffs could spell trouble for the Musk-owned automaker.
President Joe Biden recently increased tariffs from 25% to a whopping 100% on Chinese EVs being imported into the US.
Chinese automakers are currently paying a tariff of 10% on their vehicles entering the EU.
EU member states will be asked to vote on the hiked tariffs before 2 November.
