Yes to duties against the import of Chinese cars? Or rather not. The issue is thorny and could turn into an electoral boomerang for the German president of the EU Commission, Ursula von der Lyen. The car manufacturers of her country, in fact, have raised a wall on the issue, fearing serious repercussions on their fundamental business in Beijing. China, in fact, has threatened immediate retaliation against the EU: duties of up to 25% on vehicles arriving from the Old Continent and the United States.
The EU Commission, in fact, will present a first decision on possible duties against imports of Chinese electric vehicles on 5 June, just on the eve of the elections for the renewal of the European Parliament. The US, for its part, has already declared that it will impose 100% tariffs to prevent the shipment of electric vehicles from Beijing.
Meanwhile, Carlos Tavares, CEO of Stellantis, who until not long ago called for European anti-Chinese barriers, has now changed his mind, especially in light of the recent agreement for the distribution in Europe of electric vehicles at more competitive costs created by the partner Leapmotor .
While recognizing that “competition with Chinese car manufacturers on the European market will be fierce, especially as regards electric vehicles, and could lead to significant consequences”, Tavares defines the duties on Asian vehicles imported into Europe and the United States as a “trap”. USA. «It is a path – he explains, speaking to Reuters Events Automotive Europe – which will not allow Western car manufacturers to avoid the restructuring necessary to face the challenge. Furthermore, any tariffs would raise inflation in the regions where they were imposed, with potential repercussions on sales and production. The price battle with Chinese rivals will be very tough: a 30% competitive cost advantage in their favor must be absorbed, there may be social consequences.”
And President von der Leyen? He reflects. “I don’t think we are in a trade war with China,” she underlines, “since the derisking approach applies to Beijing, which is different from the decoupling with Russia.” And regarding the investigations into state subsidies to Beijing companies, “if the existence of interventions that lead to market distortion is demonstrated – he points out – the EU will adopt duties corresponding to the level of Chinese aid”.
The facts, meanwhile, have seen the failure of the “Airbus Project” for the car, hypothesized by the CEO of Renault, Luca De Meo, that is, to create a low-cost car with Volkswagen precisely to counter the Chinese.
For its part, as Automotive News reports, Ford is instead asking dealers to suspend investments in electric vehicles.
For now, there remains great chaos to win.
