Tag Archives: EU

Dacia Spring costs 3,500 euros more due to new EU tariffs

At the beginning of the year, the redesigned Dacia Spring arrived on the market, and two months later it was announced that it will cost 10,990 euros. However, the latest information says that due to the new EU tariffs, this car will cost 3,500 euros more.

In 2023, the EU launched an investigation into the privileged position of electric vehicles produced in China due to subsidies. It was suspected that China is helping domestic companies in various ways to export their cars to the European market at lower prices and thus endangering European manufacturers. In order to respond to the growing pressure and resentment of European companies, the EU decided to introduce additional tariffs of up to 38.1%, which will come into effect on July 4. For example, BYD will pay 17.4 percent, Geely 20 percent, and SAIC, which with the help of former British brand MG is by far the biggest seller in Europe, will pay 38.1 percent. Other brands that were cooperative will pay a 21 percent duty, and those that refused will pay 38.1 percent.

This decision is already showing its impact on car prices, so the Dacia Spring will have a new starting price of 20,400 euros from autumn. On the French market, the price increase will be even higher. Thus, an electric car on the French market would be more expensive by almost 4,000 euros compared to the current starting price.

Dacia is not the only victim of the new EU tariffs, Tesla will also increase the prices of their cars. In some EU markets, the Tesla Model 3 will cost 8,500 euros more, with a starting price of 49,490 euros (subsidies not included).

Source: Reuters

The EU is changing tariffs on EVs made in China

At the beginning of June, the EU announced additional tariffs of up to 38.1% on electric cars imported from China, but according to information from some media, that decision could be changed.

Currently, imported cars made in China have a 10 percent tariff. However, as of July 4, this rate will rise to as much as 38 percent in some cases. For example, BYD will pay 17.4 percent, Geely 20 percent, and SAIC, which with the help of former British brand MG is by far the biggest seller in Europe, will pay 38.1 percent. Other brands that were cooperative will pay a 21 percent duty, and those that refused will pay 38.1 percent.

In 2023, the European Commission launched an investigation into the privileged position of electric vehicles produced in China due to subsidies. “These can also be vehicles from other manufacturers if they have used subsidies in China,” said Executive Vice President of the European Commission for an Economy Valdis Dombrovskis.

According to Bloomberg, manufacturers that cooperated during the investigation will have lower tariffs (20.8% instead of 21%). However, those who refused to cooperate will have tariffs of 37.6 percent instead of the original 38.1 percent. It should also be noted that these tariffs are temporary and that the EU will make a new decision on permanent tariffs by the end of the year.

Source: Bloomberg

EU imposes additional tariffs of up to 38.1% on Chinese cars

As was announced a few days ago, the EU introduced additional tariffs of up to 38.1% on electric cars manufactured in China. The decision comes after a long-term consideration of how to respond to the increasing pressure that cheap Chinese electric cars are putting on domestic European manufacturers.

A few days ago, Turkey imposed additional tariffs of 40% on Chinese cars, and before that, the United States also raised the tariff rate on imported cars from China from 25% to 100%. Of course, such decisions were condemned by the Chinese authorities, who announced countermeasures to protect their interests.

“We call on the EU to listen carefully to objective and rational voices from all walks of life, to immediately correct its wrong practices, stop politicizing economic and trade issues, and properly resolve economic and trade frictions through dialogue and consultation,” said Chinese Foreign Ministry spokesman Lin Jian at a regular press briefing.

In September 2023, the EU launched an investigation into the privileged position of electric vehicles produced in China due to subsidies. “These can also be vehicles from other manufacturers if they have used subsidies in China,” said Executive Vice President of the European Commission for an Economy Valdis Dombrovskis.

Currently, imported cars made in China have a 10 percent tariff. However, as of July 4, this rate will rise to as much as 38 percent in some cases. For example, BYD will pay 17.4 percent, Geely 20 percent, and SAIC, which with the help of former British brand MG is by far the biggest seller in Europe, will pay 38.1 percent. Other brands that were cooperative will pay a 21 percent duty, and those that refused will pay 38.1 percent.

This decision is valid until the end of the investigation (November), when the new customs tariffs will come into force for a period of five years.

Source: Reuters, Photo: Shutterstock