Britain set to levy tariffs on Chinese electric cars

LONDON: The British government is contemplating imposing tariffs on Chinese electric vehicle (EV) imports, according to a report by The Times. Business Minister Jonathan Reynolds is reportedly drafting a list of potential tariffs, citing concerns that China is flooding the market with subsidised vehicles. However, a government spokesperson confirmed to Reuters that no tariffs have been enacted thus far.

The UK remains in close communication with industry stakeholders to ensure the strategy aligns with national interests and the UK's broader economic goals. The proposed tariffs are reportedly intended to match the European Union's 45% levy on Chinese EVs, aiming to prevent the negative consequences of potential "Made in Europe" measures, which could hinder UK companies selling products within the EU.

The EU's "Made in Europe" initiative seeks to lessen dependence on Chinese components by promoting European-made goods, creating apprehension among British automakers who rely on European-made parts for manufacturing and export across the continent. British Minister Burnham had previously expressed his intent to argue for Britain's recognition as a "trusted partner" under the EU's proposed rules, cautioning that excluding the UK could harm its automotive industry.