EU Set to Impose Tariffs on Chinese BEVs

The European Commission's proposal to impose definitive countervailing duties on imports of battery electric vehicles (BEVs) from China has obtained the necessary support from EU Member States for the adoption of tariffs. This represents another step towards the conclusion of the EC's anti-subsidy investigation.

The Commission said that the EU and China will continue to work hard to explore an alternative solution that would have to be fully WTO-compatible, adequate in addressing the injurious subsidization established by the EC's investigation, monitorable, and enforceable. A Commission Implementing Regulation including the definitive findings in the investigation must be published in the Official Journal by 30 October 2024, at the latest.

In June, the EC 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. The investigation also examined the likely consequences and impact of measures on importers, users, and consumers of BEVs in the EU. In September, the EC launched the consultation request at the World Trade Organization, challenging China's initiation of an anti-subsidy investigation against imports of certain dairy products from the EU.