China Slams EU’s “Wrong Practices” on EV Tariffs, Urges Dialogue

has strongly criticized the European Union's decision to impose tariffs of up to 38.1% on Chinese electric vehicles, calling it protectionist behavior and urging the EU to correct its “wrong practices,” reports Reuters. The reaction from China and other stakeholders, including European and Chinese automakers, highlights the opposition to the EU's move and the desire to resolve the issue through dialogue.

China's Response and Call for Dialogue

Chinese foreign ministry spokesperson Lin Jian stated, “We urge the EU to listen carefully to the objective and rational voices from all walks of life, immediately correct its wrong practices, stop politicising economic and trade issues, and properly handle economic and trade frictions through dialogue and consultation.”

China argues that the tariffs will slow down EV adoption, jeopardize climate goals, and increase costs for consumers.

Room for Negotiation

Despite the EU's decision, there appears to be room for the two sides to continue discussions and find a solution.

Chinese state news agency Xinhua commented, “It is hoped the EU will some serious reconsideration and stop going further in the wrong direction.”

The EU's move comes shortly after the U.S. announced plans to quadruple duties on Chinese EVs to 100%.

Impact on Chinese EV Makers

The EU will impose additional tariffs ranging from 17.4% for BYD to 38.1% for SAIC, on top of the standard 10% car duty. SAIC, China's largest automaker, expressed deep concern over the tariffs. Geely also voiced disappointment and vowed to take necessary measures to protect its rights. However, Chinese EV maker stocks mostly shrugged off the news, with BYD's Hong Kong-listed shares closing up 5.8%.

European Automakers' Stance

Despite the influx of lower-cost EVs from Chinese rivals, there is virtually no support for tariffs from 's auto industry. Major automakers like BMW, , , and Mercedes Benz, which heavily rely on sales in China, fear retaliation from Beijing. Shares in some of Europe's biggest carmakers fell for a second day due to concerns over China's potential response.

The EU's decision to impose tariffs on Chinese EVs has sparked strong opposition from China and other stakeholders. While China urges the EU to correct its “wrong practices” and engage in dialogue, there appears to be room for negotiation to avoid billions of dollars in new costs for Chinese EV makers. The impact of the tariffs on the global EV market and the potential for retaliation from China remain to be seen.

EVXL's Take

The EU's decision to impose tariffs on Chinese EVs highlights the growing tensions in the global EV market. While the move aims to protect European automakers, it risks slowing down the adoption of EVs and increasing costs for consumers. As a pro-drone publication, EVXL believes that open competition and collaboration are essential for driving innovation and making EVs more accessible to the masses. The potential for retaliation from China could also have far-reaching consequences beyond the auto industry, affecting sectors such as food and beverages. It is crucial for the EU and China to engage in constructive dialogue and find a solution that benefits all stakeholders and supports the growth of the EV market.


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Haye Kesteloo
Haye Kesteloo

Haye Kesteloo is the Editor in Chief and Founder of EVXL.co, where he covers all electric vehicle-related news, covering brands such as Tesla, Ford, GM, BMW, Nissan and others. He fulfills a similar role at the drone news site DroneXL.co. Haye can be reached at haye @ evxl.co or @hayekesteloo.

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