Car trade sees punitive tariffs as "wrong signal"

Trade dispute with China - Car trade sees punitive tariffs as "wrong signal"

German car dealers are skeptical towards the temporary tariffs imposed by the EU Commission on Chinese electric vehicles. They are "the wrong signal for the urgently needed boost of electromobility," says Thomas Peckruhn, Vice President of the German Association of Motor Trade (ZDK. "For consumers, this will make the already available electric vehicles significantly more expensive, especially since the competitive pressure on European manufacturers is decreasing," he expects. "This will further worsen the already hesitant buying attitude, as the number of registrations for electric vehicles in the EU has been declining for the sixth month in a row since the end of the environmental bonus."

Moreover, the tariffs for car dealers investing in the sale of a Chinese brand are a "blow to the desk," criticizes Peckruhn. The ZDK also fears a Chinese counter-reaction.

EU: Chinese electric cars are 50% cheaper

The tariffs are initially only provisional and are supposed to take effect from Friday. They are the result of an investigation by the EU Commission, which found that the entire value chain for electric cars in China is heavily subsidized. According to EU Commission statements, Chinese electric cars are normally about 20% cheaper than those produced in the EU. The final introduction of the tariffs is supposed to take place within four months if China does not make any concessions. Until then, the tariffs do not have to be paid, but only security deposits for them.

1. The German automotive industry, closely linked to the car trade, expresses concerns about the potential impact of these tariffs on foreign trade.
2. The temporary tariffs imposed on Chinese electric vehicles by the EU Commission could hinder the growth of electromobility in Germany, according to Peckruhn.
3. The EU's decision to levy tariffs on Chinese electric cars could affect the electrical industry, as these vehicles are significantly cheaper in China due to extensive subsidies.
4. German car dealers are apprehensive about the EU Commission's trade dispute with China, fearing potential retaliation from the world's largest automotive market.
5. The EU Commission's decision to levy tariffs on Chinese electric vehicles could impact the competitive landscape in the automotive industry, potentially disadvantaging European manufacturers.
6. The Bonn-based ZDK, along with car dealers in Germany, is advocating for a reconsideration of these tariffs, arguing that they could further deter consumers from buying electric vehicles.
7. If China fails to make concessions within four months, German car dealers may face a significant penalty duty when selling Chinese electric cars, potentially affecting their profits in the lucrative European market.

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