Chinese car duties, here’s how much Tesla has to pay | FormulaPassion.it

The European Union has reduced duties on cars from China, confirming for the first time what amounts Tesla will have to pay to the EU given the production of the Model 3 in the Gigafactory in Shanghai which is then imported and sold in the Old Continent.

Tariffs for Tesla

The European Commission has revised its proposed tariffs on imports of Chinese-made electric vehicles, a decision taken following the EU investigation into alleged dumping by the Chinese government to support local manufacturers, as reported by Reuters. For Tesla in particular, the European Union has set a new, reduced extra rate of 9%, down from the 20.8% it set in July, and said some Chinese firms in joint ventures with EU automakers could be subject to lower tariffs on imports of Chinese-made electric vehicles. The tariffs are on top of the EU’s standard 10% duty on car imports, a measure the Commission says is aimed at leveling the playing field and tackling what it calls unfair subsidies.

Cooperation with the EU

Tesla had requested a recalculation of its tariff, based on specific subsidies the company had received. The Commission said Tuesday it had verified that it had received fewer subsidies from the Chinese government than the country’s electric vehicle makers targeted by Brussels. The Commission, which sets EU trade policy, said it still believes Chinese EV production had benefited from large subsidies and proposed tariffs on other companies of up to 36.3%, slightly lower than the initial planned maximum duty of 37.6% set in July for companies that did not cooperate with the EU’s anti-subsidy investigation.

Tax rates for Chinese brands

Tesla was among the companies classified as “cooperating” with the EU investigation. As for the new duties, BYD faces a 17.0% rate from 17.4% levied in July, Geely 19.3% from 19.9% ​​and SAIC 36.3% from 37.6%. Interested parties have until August 30 to submit comments on the Commission’s findings. The proposed final duties will be subject to a vote by the 27 EU member states and will be implemented unless a qualified majority of 15 EU members votes against. If approved, the definitive duties will take effect before October 30.