European Union imposes additional taxes on Chinese cars

Turkey announced that it will impose a 40 percent additional tax on all automobiles coming from China, with the decision published in the Official Gazette recently. While the additional taxation caused great repercussions on social media, a similar step came from the European Union. EUChinese goods Customs tax up to 38 percent on electric vehicles will implement it.

EU will impose additional taxes on Chinese-made electric cars

The trade tension between China and the European Union has finally started to be reflected in the form of taxes. Within the scope of the decision taken in the European Union, it was stated that temporary import taxes of up to 38 percent will be applied to the electric vehicles of Chinese automobile manufacturers.

European Commission BYD, Geely and SAIC It found that it had received unfair subsidies by the Chinese government. Accordingly, BYD will face an additional import tax of 17.4 percent, Geely will face 20 percent and SAIC will face 38.1 percent.

This move actually follows the additional tax step imposed by both the USA and Turkey on Chinese cars. Within the scope of the decision taken a while ago, the USA quadrupled the customs duty on Chinese electric vehicles.

China’s Ministry of Commerce said it will closely monitor the EU’s steps and take the necessary measures to defend the rights of Chinese companies. The tariffs also reflect disagreements over events in Taiwan, human rights and economic cooperation.

The European Commission also announced that Chinese automobile manufacturers that cooperate with the investigation will face a 21 percent customs duty, and companies that do not cooperate will face a 38 percent tariff. Manufacturers that export electric vehicles from China, such as Tesla and BMW, will also be included in this taxation.