BMW CEO Zipse Criticizes EU Again: Imposing Tariffs on Chinese Electric Vehicles is a Dead End
The European Commission has decided to impose temporary countervailing duties on imports of electric vehicles from China.
Cooperating Chinese producers that were not sampled will be subject to a weighted average tariff of 20.8%, while non-cooperating companies will face a 37.6% rate. This temporary tariff will take effect on July 5, 2024 and can last up to four months.
According to a Bloomberg report, several European automakers have clearly expressed their opposition to the EU's actions, with Mercedes-Benz, Volkswagen, and BMW all issuing warnings to the EU.
BMW's Chairman and CEO Oliver Zipse has once again criticized the EU's approach, stating that tariffs are a "dead end" and will not improve the competitiveness of European automakers.
In his statement, Zipse said, "On the contrary, it not only damages the business model of companies that are active globally, but also restricts the supply of electric vehicles to European customers, and thus could even slow down the decarbonization of the transport sector."
As previously reported, Zipse had already expressed his stance on May 8th, stating that the measure of imposing additional tariffs on electric vehicles imported from China would only "shoot itself in the foot." "We don't think our industry needs protection," Zipse told analysts, adding that operating globally can bring industrial advantages to major automakers, and "the introduction of import tariffs can easily jeopardize this advantage."
The strong opposition from European automakers reflects their concerns about the potential negative impact of these tariffs on the electric vehicle market in Europe. They argue that such protectionist measures will ultimately harm the industry's competitiveness and slow down the transition to sustainable mobility.