Thursday, September 19, 2024

Europe’s automakers fret as China EV tariff fears become reality

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But the tariffs will also hit the cars that European automakers have made in China for European consumers.

Renault, for instance, imports the affordable Chinese-made Dacia Spring EV into Europe, and its Chinese joint venture partner Dongfeng is on the list of those companies likely to be hit with a 21 per cent tariff.

Renault did not comment on the EU’s tariff announcement.

Tesla imports Chinese-made EVs into Europe and BMW imports Mini EVs and the iX3.

Europe’s auto industry is also reliant on Chinese components, particularly for EVs as China dominates so much of the supply chain.

Speaking to analysts last month, BMW CEO Zipse warned that sparking a trade war could have dire consequences for the transition to EVs because it is impossible to make cars in Europe without Chinese imports.

“There is no Green Deal in Europe without resources from China,” Zipse said.

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