Earlier today, the European Union Commission disclosed its draft decision on tariffs to compete with China’s battery-electric vehicles value chain.
According to Reuters, the draft decision specifically mentions some companies, while others will fall into two large categories.
Named brands in the draft decision
| Brand | Original Tariff | New Tariff |
| Tesla | 20.8% | 9% |
| BYD | 17.4% | 17% |
| Geely | 19.9% | 19.3% |
| SAIC | 37.6% | 36.3% |
Tariffs are set at 21.3% for all other EV companies that choose to cooperate with the European Union and 36.3% for Chinese EV companies that did not cooperate with the European Union investigators.
Tesla specifically made a substantiated request for the European Union to reconsider its tariff rates. At the time, Tesla argued that its proposed import tariff should be adjusted to reflect the specific subsidies that Tesla receives from the Chinese government. The Commission confirmed that Tesla received fewer subsidies from the Chinese government than other automakers.
These new tariffs will be in addition to the standard 10% duty on car imports into the European Union.
None of the automakers have commented on the draft decision yet, nor has China released an official statement on the draft decision.
China has already launched a challenge to the World Trade Organization on the tariffs, noting that the provisional tariffs lack factual and legal basis. The World Trade Organization process has yet to begin.
