BMW is urging Germany to vote against the imposing of higher tariffs by the European Union (EU) upon electric vehicles made in China as the German manufacturer hopes to avoid a trade dispute with their most important market, reported Bloomberg.
“Additional tariffs harm globally active companies in this country and could provoke a trade dispute from which no one gains. The German government should therefore take a clear position,” BMW CEO Oliver Zipse was quoted as saying.
Member states of the EU are preparing to vote on tariffs to be imposed on China-made EVs that will be as high as 45%, and it would require 15 member states representing 65% of the EU’s population to successfully block the tariffs from being put in place, Bloomberg wrote.
Earlier this week, German officials have indicated that the German government plans to abstain, rather than vote against the tariffs, and the German government also expects “a significant number of EU member states” to join in its abstention which could cause difficulty in blocking the tariffs being implemented, the report wrote.
The European Commission is due to vote this week on a proposed additional tariffs on top of the standard 10% import tariff on EVs made in China and imported into the EU.
The European Commission proposed the additional tariffs after a probe found that China significantly subsidises its electric vehicle industry, though German OEMs have rejected to proposal as it could threaten their sales in China should the country retaliate with countermeasures.
Last month, the European Union and China have agreed to resolve disputes over the EU’s decision to impose additional tariffs on EVs made in China. A spokesperson for China’s ministry of commerce said Chinese EV makers have pledged to sell their EVs in the EU above minimum prices.
At present, BMW Group products which are made in China include the J01-generation MINI Cooper SE electric hatchback, which is built in conjunction with GWM at a new plant in Zhangjiagang, China. Also made in China is the BMW iX3, which is produced for global markets from its joint venture plant in Shenyang.
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German car brands are not weak like the American brands that often need government bailouts and protectionist policies. American brands have become complacent from playing at super easy mode for too long.
well you’re wrong. I work for a german marque dealership, we still have thousands of unsold car in Port Klang from 2021.
Seems like you failed to understand what I am talking about…
imagine if china impose hefty tariff on german cars, as retaliation. confirm german marques first to tutup kedai.
Bmw, Merc and Vw group not only depend on China as their important market also main battery supplier for their EVs.
At this stage, I think they need cheaper China parts (components / batteries) more than China need sales from their side.
China’s auto industry has matured and local players can meet most, if not all the country’s automotive needs. Meanwhile, most German brands depend on China as one of their biggest markets and parts manufacturer.
Whats wrong with China gov supporting auto industries
Bcos China is the new Red Menace that wants to conquer the planet…at least thats what the US‐led propanganda campaign so desperately want the world to believe.
Nothing to do with politics its all about money. When they see its a detriment they wont want to permaban like this case but if they do not benefit from like palm oil, they will kaw kaw banhammer.
EU is the biggest hypocrites, even worse than USA.
Bagi tax kaw kaw