Last news in Fakti

Tesla vs EU

Tesla sues the European Union over tariffs on electric car imports from China

Jan 28, 2025 11:31 158

Tesla vs EU  - 1

The American brand has also filed a lawsuit over tariffs on electric cars from China. The case against the European Commission will be heard in the European Court of General Jurisdiction and could last six months, the Financial Times reports.

The reason for the lawsuit filed by Tesla is the tariffs on imports of electric vehicles assembled in China, which reach 35.3 percent. For the American brand, the rate was reduced to 7.8 percent because the inspections showed that the company received the least support from the Chinese authorities.

We will recall that the tariffs on imports of Chinese electric vehicles began to be applied in the European Union in October 2024. The size of the rate depends on the degree of involvement of the Chinese government in the activities of a particular automaker.

Thus, Tesla, as the company receiving the least support from the Chinese government, pays 7.8%, and the SAIC concern pays the maximum 35.3%. In addition, the increased duty is added to the current rate of 10 percent. And one more thing. As we have already informed you, Tesla is not the only company suing the EU. BMW joined BYD, Geely and SAIC in a lawsuit against the European Union.

According to statistics, about a fifth of all electric vehicles - about 300 thousand units - sold in the European Union in 2024 were produced in China with the support of the Chinese authorities.

China challenged the tariffs on electric vehicles in the European Union through the World Trade Organization. European automakers, including BMW, Mercedes-Benz, Volkswagen AG and Volvo, have also opposed the trade war with China.

A number of companies have filed cases in the European Court of Justice, including Germany's Bayerische Motoren Werke AG, Chinese automakers BYD Co., Geely Automobile Holdings Ltd. and SAIC Motor Corp., and now the US' Tesla.