EU Votes to Impose Tariffs on Chinese Electric Vehicles

The European Union (EU) has voted to impose tariffs of up to 45% on Chinese electric vehicle (EV) imports. The decision follows a year-long anti-subsidy investigation, which the EU claims reveals unfair Chinese subsidies.

In a recent vote, 10 EU members supported the tariffs, while five opposed and 12 abstained. Germany, the bloc’s largest economy and a major car producer, voted against the measure.

Critics, including BMW’s CEO Oliver Zipse, argue the tariffs could escalate into a trade conflict. Volkswagen echoed this sentiment, calling the tariffs “the wrong approach.”

China, viewed by the EU as both a partner and a competitor, has not yet responded to the decision. In potential retaliation, Beijing has launched probes into EU imports of brandy, dairy, and pork.

The EU’s move is partly driven by China’s surplus EV production capacity, estimated at three million vehicles annually—twice the size of the EU market. With the U.S. and Canada already imposing 100% tariffs, Europe becomes the most viable export destination.

Despite the vote, the EU remains open to negotiations with China, potentially exploring alternative solutions to tariffs.