By hannover-web.com On October 4th, the European Commission announced that it had garnered the necessary backing from member states to impose tariffs on electric vehicles imported from China. This decision sparked widespread backlash across Europe. Critics labeled it as “self-harm,” arguing that it would be “detrimental with no benefits” and ultimately lead to “losers.” Many contend that such a move could jeopardize the competitiveness of European car manufacturers and hinder the EU’s green transition goals, advocating for ongoing negotiations with China.
German Chancellor Olaf Scholz publicly opposed the proposed tariffs before the vote, emphasizing the importance of maintaining dialogue with China. After the voting results were revealed, German Finance Minister Christian Lindner cautioned against provoking a trade war, stating, “We need to negotiate a solution.”
Hungarian Prime Minister Viktor Orbán also voiced his nation’s dissent towards the tariff increase, highlighting that it would damage the EU’s own competitiveness. Slovenia’s Minister of Economy, Tourism, and Sports, Matjaž Han, pointed out the numerous opportunities that the global green transition presents for the automotive industry and reiterated Slovenia’s stance against the tariffs. In a move to foster cooperation in the automotive sector, Slovenian automotive parts suppliers convened with Chinese car manufacturers in the capital city of Ljubljana on October 8th.
Hildegard Müller, President of the German Automotive Industry Association, warned that Europe’s prosperity is closely linked to global trade, indicating that the EU’s current approach signals a regression in global cooperation. She urged all stakeholders to resolve their differences through dialogue and collaboration to avert any escalation and potential trade disputes.
Helvoje Pulpić, President of the Croatian Electric Vehicle Drivers Association, argued that these tariffs would damage not only EU-China trade but also hinder healthy competition within Europe’s electric vehicle sector and its green transition.
Major European automakers, including Volkswagen, BMW, and Mercedes-Benz, have all characterized the imposition of tariffs on Chinese electric vehicles as a “wrong move” that sends a “fatal signal” to the European automotive industry.
“Europe and China need to swiftly find a solution to prevent a trade conflict that will end up benefiting no one,” said Oliver Zipse, Chairman of the BMW Group, who cautioned that tariffs would limit the availability of electric vehicles for European consumers and impede the low-carbon development of the European transport sector.
Herbert Diess, Chairman of the Management Board of Volkswagen Group, emphasized that the EU’s decision on tariffs would negatively affect Germany’s automotive industry, urging the German government to continue its opposition within the EU. He suggested that pursuing solutions through mutual investments would be a more effective route than imposing tariffs, advocating for tariff exemptions for companies that invest abroad and create jobs while collaborating with local businesses. A spokesman for Daimler AG reinforced this view, stating that “punitive tariffs will weaken an industry’s competitiveness in the long run.”
A recent survey conducted by Germany’s largest automotive association, ADAC, indicated that 59% of participants would consider purchasing a car from a Chinese manufacturer. When asked why, 83% cited value for money as the primary reason, while 55% and 37% highlighted the appealing innovative technology and design of Chinese electric vehicles, respectively. Ferdinand Dudenhöffer, a leading automotive economist and head of the Bochum University Car Research Institute, noted that China is at the forefront of electric vehicles, autonomous driving, and smart connectivity, emphasizing the importance of cooperation between Europe and China for mutual benefit.
