Posted on 11 Mar 2024
The European Union's executive body, the European Commission (EC), is set to commence customs registration of electric vehicles (EVs) imported from China on March 7, a move allowing the bloc to impose additional tariffs and potentially retroactive ones on Chinese EV imports in the future, as per an EC document published earlier on March 6 on its Official Journal.
The Commission claimed in the document that it had sufficient evidence tending to show that the imported Chinese EVs were being subsidised, adding that "injury, which is difficult to repair, is caused by massive imports of a subsidised product in a relatively short period."
Currently, the EC is carrying out an anti-subsidy investigation into Chinese EVs, which has been officially launched on October 4 last year. And the probe will be due to conclude by November this year, with provisional tariffs may be introduced by this July, Mysteel Global learned.
From last October to January, the European Union imported 177,839 units of Chinese EVs, reading an on-year rise of 14% and an increase of 11 % compared to the investigation period (October 2022–September 2023) in terms of monthly averages, according to the EC data.
"There is also a risk that an increasing number of (European) Union producers will suffer from diminishing sales and reduced production levels if imports continue at the current increased levels at allegedly subsidised prices from the PRC as evidenced so far after the initiation of the investigation," the EC said.
Following the EC's document on Tuesday, China Chamber of Commerce to the EU (CCCEU) on Wednesday voiced its disappointment with the EU's mandate for customs registration of Chinese EV imports while an investigation is still ongoing. "Both the chamber and its members expressed worries regarding potential retroactive measures in the future," it commented.
The recent surge in the imports of Chinese EVs mirrors the increasing demand for EVs in Europe and underscores Chinese car companies' commitment to fostering the European market, as highlighted by CCCEU.
Source:Mysteel Global
