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Fitch EU Tariffs on China's EVs Will Not Affect European Market

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Europe,China,EV

The European Commission's provisional tariffs on imports of Chinese electric vehicles in the EU are not expected to materially impact the European market.

The European Commission’s provisional tariffs on imports of Chinese electric vehicles in the EU are not expected to materially impact the European market, due to the slow uptake of EVs, Fitch Ratings said on Friday. However, a potential Chinese retaliation would be key to the fortunes of European carmakers, especially of the German auto manufacturers, according to the rating agency.

This week, the Commission “provisionally concluded that the battery electric vehicles BEV value chain in China benefits from unfair subsidization, which is causing a threat of economic injury to EU BEV producers.” Commenting on the tariffs, China’s foreign ministry spokesperson Lin Jian said on Thursday “There are principles that China must defend, that is, the WTO rules and market principles.

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