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European Union Anticipated to Unveil Tariff Plans for Chinese Electric Vehicles This Week

The EU will announce increased tariffs on Chinese electric vehicles, potentially raising rates to 25-30% or higher.

EU to Announce Tariff Rate Plan for Chinese Electric Vehicles

Later this week, the European Union (EU) is expected to release its tariff rate plan for Chinese electric vehicles (EVs) as it aims to control the influx of low-cost, subsidized imports.

At present, the EU imposes a standard 10% duty on imported EVs, but plans to temporarily increase this fee for Chinese EVs starting July 4.

Expected Increase in Tariffs

Citi analysts anticipate the tariff rate could surge to 25-30%, from the current 10%, with a 40% probability of a hike to 30-50%. Meanwhile, Anthony Sassine, Senior Investment Strategist at KraneShares, predicts tariff rates will fall between 10% and 20%, possibly leaning towards the higher end following the recent European Parliament elections.

These expectations coincide with Ursula von der Leyen, President of the European Commission, seeing her party, the European People’s Party, gain more seats. Von der Leyen has been advocating for a “de-risking” strategy towards Beijing.

Investigation into Chinese EV Subsidies

The European Commission launched an investigation in October into the subsidies received by Chinese EV makers, suggesting such subsidized imports could “pose an economic threat to the EU’s EV industry.”

Despite potential tariffs, Sassine believes Chinese manufacturers will remain competitive due to their efficiency and advanced methods. China’s EV industry has blossomed with the help of government incentives, which have sparked concerns of overcapacity in the U.S. and Europe.

In March, U.S. Energy Secretary Jennifer Granholm warned that China could flood the U.S. electric-vehicle market with cheap products. In response, the U.S. hiked tariffs on Chinese EV imports in May to 100%, a substantial increase from the previous 25%.

Turkey’s Tariffs on Chinese EVs

On June 8, Turkey announced a 40% additional tariff on imports of vehicles from China.

Chinese EV Makers Expand in Europe

In May, Chinese EV manufacturers Xpeng and BYD exhibited their models in Europe, and Nio opened a new showroom in Amsterdam, despite the ongoing EU investigation. Furthermore, BYD announced plans to construct a factory in Hungary, and Chery entered a joint venture with Spain’s Ebro-EV Motors to develop new EVs.

Cedomir Nestorovic, a professor at ESSEC Business School, noted that numerous Chinese manufacturers are currently exploring the EU market and will strive to avoid potential tariffs. According to Sassine, Chinese automakers, including Nio, are establishing factories in Europe to circumvent these tariffs.

Original Story at www.cnbc.com

Trending News

Mississippi River Faces Persistent Saltwater Intrusion, Region Seeks Long-Term Solutions



For the third consecutive year, the Mississippi River is experiencing significant saltwater intrusion, prompting local communities and environmental experts to search for sustainable solutions. This recurring issue arises as the river’s flow decreases, allowing saltwater to move upstream and threaten drinking water supplies. The U.S. Army Corps of Engineers is actively involved in addressing this problem, employing temporary measures like saltwater barriers to mitigate the impact on affected areas.



Saltwater infiltration poses serious risks to public health and agriculture, as freshwater sources become compromised. The situation is exacerbated by prolonged periods of drought, which have reduced freshwater flow in the Mississippi River. According to the National Weather Service, drought conditions have worsened due to climate change, increasing the frequency and severity of saltwater intrusion events.



Local authorities are collaborating with federal agencies to explore permanent solutions. Among the proposed strategies are enhanced levee systems and improved water management techniques. The U.S. Army Corps of Engineers is evaluating the feasibility of long-term infrastructure projects to prevent further saltwater encroachment. Additionally, community leaders are advocating for increased funding to support these initiatives and safeguard the region’s water resources.



The impact of saltwater intrusion extends beyond drinking water concerns, affecting local ecosystems and agricultural productivity. Farmers in the region have reported crop damage due to elevated salinity levels in irrigation water. The Natural Resources Conservation Service is working with farmers to implement adaptive practices, such as planting salt-tolerant crops and improving soil management techniques.



As the Mississippi River continues to face challenges from saltwater intrusion, stakeholders emphasize the importance of collaborative efforts and innovative solutions. The ongoing threat underscores the need for comprehensive planning and investment to protect one of America’s most vital waterways from the impacts of climate change and environmental stressors.

November 19, 2024



Environmental activists have raised concerns over the fossil fuel sector’s significant impact on COP29, the latest United Nations Climate Change Conference. Activists argue that the industry’s presence diverts focus from critical climate actions.



The conference, designed to promote global climate agreements, faces criticism for allowing fossil fuel companies to participate extensively. Environmental groups claim these companies undermine efforts to reduce carbon emissions and transition to renewable energy sources.



According to Climate Action Network, fossil fuel representatives have increased their lobbying activities, aiming to weaken climate policies. These industries allegedly influence negotiations, leading to watered-down commitments that fail to address the urgency of climate change effectively.



Experts suggest that the influence of these companies stems from financial contributions and longstanding relationships with decision-makers. Critics argue that this affects the conference’s ability to enforce meaningful climate change regulations.



During the event, several protests highlighted the need for transparency and a stronger focus on sustainable energy solutions. Activists are calling for increased participation of renewable energy stakeholders in future conferences.



The controversy surrounding fossil fuel involvement at COP29 underscores the ongoing challenge of balancing industrial interests with the global imperative to combat climate change.



November 19, 2024