MG and Nio are considering raising prices for their China-manufactured cars in Europe following the European Union’s confirmation of tariffs on imported Chinese EVs. Meanwhile, Renault’s budget Dacia brand has declared it will not increase prices for its Spring electric minicar exported from China to Europe.
Effective July 5, the EU will impose tariffs of up to 37.6 percent on imported electric vehicles from China, escalating trade tensions with Beijing in what is Brussels’ most significant trade dispute to date.
Nio, known for its luxury ET7 sedan in Europe, indicated potential price adjustments for its vehicles in response to the EU’s decision.
A spokesman for MG in France stated that the automaker currently has sufficient vehicle inventory, lasting until November, without the need for price hikes, specifically mentioning the MG4 model.
Andrea Bartolomeo, MG’s country manager for Italy, mentioned that there are no immediate plans for price adjustments across the brand’s car lineup in Italy at this time.
MG’s parent company SAIC will face a tariff of 37.6 percent, while Geely and BYD will encounter duties of 19.9 percent and 17.4 percent respectively, as announced by the EU on July 4 following its investigation into alleged unfair subsidies provided to EV manufacturers in China.
Tesla, BMW, and other automakers that cooperated with the EU’s anti-subsidy investigation will be subject to tariffs of 20.8 percent. Tesla exports its Model 3 to Europe from China, and BMW exports the iX3 electric SUV.
These tariffs are in addition to the EU’s standard 10 percent duty on car imports.
Last month, Tesla updated its order pages in Europe to advise prospective buyers to take delivery of Model 3 sedans before an anticipated price increase in July. Tesla has requested a lower tariff rate compared to other manufacturers, arguing that it has benefited from lesser state support.
Germany’s automotive industry has expressed concern over the timing of the tariffs, citing the current sluggish demand for battery electric vehicles (BEVs) in Germany and across Europe.