UK expected to follow EU with tariffs on Chinese EVs, Times says

[NEW YORK] The UK is preparing to impose levies on the import of Chinese electric vehicles, meeting a key demand from the EU, media outlet The Times of London reported on Sunday (Oct 4).

The EU has made clear that the UK faces being cut from the Made in Europe scheme if it does not act on the tariffs, the newspaper said, adding that EU officials are concerned the UK could become a backdoor for Chinese exports into Europe.

British business minister Jonathan Reynolds is drawing up a package of potential tariffs to be imposed on Chinese car imports amid concerns that Beijing is “dumping” state-subsidised vehicles into Britain, according to the report.

British ministers are ready to match the EU’s 45 per cent levy on Chinese electric cars to avoid the impact of the Made in Europe restrictions.

UK officials are concerned about Chinese retaliation against Jaguar Land Rover but have determined the potential economic fallout of being dropped from the Made in Europe mechanism would be far more damaging, The Times said, without stating how the information was obtained. BLOOMBERG