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HomeNewsEU delays decision on China electric car tariffs until after June polls

EU delays decision on China electric car tariffs until after June polls

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Brussels, May 29, 2024 The European Commission (EC) has postponed its decision on tariffs for Chinese electric car imports until after the European Parliament elections, which will take place in early June. According to Reuters, citing German weekly Spiegel, the aim of the delay is to prevent the issue from becoming an election campaign topic.

The Commission is currently investigating China’s system of subsidies for domestic electric car production and is considering imposing duties on their imports. The investigation, which began in October 2023, is expected to be completed within 13 months. After its completion, the EC has nine months to impose temporary anti-dumping duties.

The reason for the delay is to maintain neutrality in this sensitive dispute. The election campaign could influence the Commission’s decision-making and lead to the politicization of the entire issue.

Background:

  • In October 2023, the EC formally opened an investigation into China’s system of subsidies for electric car production.
  • The aim of the investigation is to determine whether China is subsidizing the production of electric cars at the expense of European manufacturers.
  • If the EC finds that China is violating competition rules, it could impose tariffs on Chinese electric car imports.
  • The decision on tariffs could have a significant impact on the prices of electric cars in Europe.

Next steps:

  • The EC is expected to publish its final decision on tariffs for Chinese electric cars in the summer of 2024.
  • Importers of Chinese electric cars should monitor developments and be prepared for the possible introduction of tariffs.
  • Automotive industry associations in the EU and China will be eagerly awaiting the Commission’s final decision.

Sources:

  • TASR – Európska komisia odloží rozhodnutie o clách na čínske elektromobily
  • Reuters – EU delays decision on China electric car tariffs until after June polls
  • Spiegel – EU verschiebt Entscheidung über Zölle auf E-Autos aus China
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