The European Commission has closed an anti-subsidy investigation into electric car imports from China and imposed countervailing duties for a period of five years. China's biggest car makers will pay between 17% and 35.3% of the tariffs in relation to the threat of economic losses for EU manufacturers due to unfair subsidies, according to the European Commission's website.
„The investigation found that the BEV (battery electric vehicle) value chain in China benefits from unfair subsidies, which risks economic damage to EU BEV manufacturers,” said the EC communique. The amount of duties for different manufacturers will differ:
BYD: 17.0%
Geely: 18.8%
SAIC: 35.3%
Tesla: 7.8%
Other companies that cooperated during the investigation: 20.7%
Firms that did not cooperate: 35.3%.
These duties are in addition to the current rate of 10%. The European Commission will monitor the effectiveness of the measures and leaves room for negotiations with China on alternative solutions. Manufacturers may also request expedited review to determine their individual duty rate.
The anti-subsidy investigation was first announced by European Commission President Ursula von der Leyen in September 2023 due to rapid growth in China's exports of cheap electric cars to the EU. The aim of these measures is to ensure fair competition and protect the European industrial base.