...US and EU are gunning after Chinese EV to stop their dominance.
...and Senator Marco Rubio is proposing higher China auto import tax and close Mexico loophole.
...this will be another setback to Chinese EV industry struggling under intense competition, and does not augur well for the global EV growth as EV competition has now entered into geopolitical arena.
...what we could possibly see is a short term rush to buy cheap Chinese EVs (before the tariff imposition) and this would translate into sharp spike in short term sales (of Chinese EVs) over coming months. Europe prepares to introduce tariffs on Chinese electric cars
Regulators have alleged China is unfairly subsidising exports of electric cars to lower prices in Europe, and squeeze local car makers such as VW and Renault out.
The European Union (EU) has accused the Chinese government of unfairly subsidising the production and export of budget-priced electric cars – and is preparing to apply tariffs for new, and existing examples already on European roads.
An EU investigation opened in October has allegedly found "sufficient evidence tending to show that imports of [electric cars] concerned from the [People's Republic of China] are being subsidised."
It refers to the subsidies as "countervailable", implying they have been specifically applied to keep retail prices of Chinese electric cars low in Europe – rather than a general subsidy to boost car production of all types, to be sold in any country.
