The European Union is wielding the "stick" of tariffs against China's rapidly growing electric vehicle industry.
On June 12, the European Commission released its preliminary ruling on its anti-subsidy investigation into Chinese electric vehicles, announcing that it plans to impose temporary anti-subsidy duties on electric vehicles imported from China starting in July.
It is reported that on top of the original 10% ordinary import tariff, it is planned to impose a 17.4% tariff on BYD Auto, a 20% tariff on Geely, and a 38.1% tariff on SAIC Motor. All three manufacturers are sampled in the ongoing EU investigation.
In addition, the EU plans to impose an average 21% countervailing duty on electric vehicle manufacturers that participated in the investigation but were not sampled; electric vehicle manufacturers that did not cooperate with the investigation will be subject to a 38.1% countervailing duty. Tesla, which has a super factory in Shanghai, may "receive a separately calculated tariff rate in the final stage."
Judging from the preliminary ruling results, the EU's tariff "stick" hit SAIC Group, currently China's largest automobile exporter, the hardest, with tariffs as high as 38.1%.
On June 13, SAIC Motor issued a "Public Statement on the European Commission's Anti-Subsidy Duty Decision", expressing deep disappointment with the European Commission's decision. It believes that the relevant measures not only violate the principles of market economy and international trade rules, but may even have a significant adverse impact on the stability of the global automotive industry chain and China-EU economic and trade cooperation.
As one of the world's leading automakers, SAIC Motor has been committed to serving global consumers through innovative and high-quality products. In the past decade, SAIC Motor has invested nearly 150 billion yuan in R&D in core technologies such as new energy and intelligent networking, and has obtained more than 26,000 valid patents.
“We rely on technological innovation rather than government subsidies to provide green and environmentally friendly high-quality products to consumers in China and more than 100 countries and regions overseas.” SAIC Group also said, “With the growing sales of SAIC MG in the European market, we are planning to introduce Chinese new energy technologies and green factories to Europe. We hope to promote cooperation between China and Europe in the field of new energy vehicles through positive measures and jointly promote the global transition to a low-carbon economy.”
In the statement, SAIC Motor earnestly hopes that the EU will listen carefully to the voices of Chinese and German auto companies, resolutely avoid artificially setting up trade barriers for new energy vehicles, and effectively maintain a fair and competitive market environment. It calls on the European Commission to carefully consider its decision and engage in constructive dialogue with global auto industry partners including China to jointly find solutions to promote fair competition and sustainable development.
Data shows that in 2023, Chinese automakers' overseas sales will reach 4.68 million vehicles, of which SAIC ranks first with an export volume of 1.2 million vehicles. In the Chinese auto sales rankings in 13 European countries including Britain, France and Germany, SAIC also ranks first with a scale of 242,800 vehicles in 2023, while Geely and BYD rank second and third, with sales of 22,400 and 15,900 vehicles respectively in 13 European countries.