The European Union ignited a global trade showdown this week, slapping tariffs up to 45.3% on Chinese electric vehicles (EVs) – a move branded “protectionist” by critics. The decision has drawn fire from China, the UK, and Germany, raising fears of a full-blown trade war. 🚗💨
What’s the Deal?
EU officials claim Chinese EV makers benefit from unfair subsidies, including cheap land and raw materials. The new fees – ranging from 7.8% for Tesla to 35.3% for China’s SAIC – kick in immediately, adding to existing 10% import duties.
China Fights Back
“This is pure trade bullying,” China’s Commerce Ministry fired back, accusing the EU of “ignoring WTO rules.” Beijing has already filed a formal complaint with the global trade body and vowed to “defend Chinese companies’ rights.” 🇨🇳⚖️
Europe Divided
Germany’s auto giants sounded alarms, with BMW warning tariffs could “slow down Europe’s green transition.” Meanwhile, the UK’s trade chief Jonathan Reynolds rejected following the EU’s lead, calling cooperation with China “possible and necessary.” 🇩🇪🤝🇬🇧
What Happens Next?
Both sides say negotiations continue behind closed doors. China urged the EU to “avoid escalation” and find a “balanced solution.” But with technical teams still haggling over details, this EV battle looks charged to run… and nobody’s unplugging yet. 🔋💥
