(Telestock) – From tomorrow 5th Julyin Europe they will start provisional duties on the import of Chinese electric cars. This was confirmed by the European Commissionconcluding a nine-month investigation. The EU has imposed these countervailing duties on imports of Chinese battery electric vehicles (BEVs), after having ascertained that, in China, the sector benefits from unfair subsidieswhich involve a economic damage to European producersThe investigation examined the likely consequences and impact of these measures on both importers and consumers of electric cars.
The Consultations with the Chinese government – Brussels explained – have intensified in recent weeks, following an exchange of views between the Executive Vice President Valdis Dombrovskis and the Chinese Minister of Commerce Wang Wentao. Contacts are continuing at the technical level, with a view to reaching a solution compatible with WTO rules, so that the solution adequately addresses the concerns raised by the European Union. Any negotiated outcome of the investigation must be effective in addressing the injurious forms of subsidization identified.
The extent of duties
From tomorrow they will be appliedprovisional duties, differentiated according to brands of Chinese cars, with a small downward revision compared to the rates initially indicated, due to the comments on the accuracy of the calculations submitted by interested parties. The individual duties applicable to the three largest Chinese producers included in the sample are: 17.4% for BYD; 19.9% for Geely; 37.6% for SAIC. Other producers who cooperated in the investigation but were not included in the sample, are subject to the weighted average duty of 20.8%. The duty for the other companies who did not cooperate is of the 37.6%.
What will happen now
The duties will have a maximum duration of four monthsdeadline by which the EU Commission will have to take a final decision based on the vote of EU member states. Once adopted, this decision would make the duties definitive for a period of five years.
Member States will vote on the provisional duties by written procedure and by simple majority, within 14 days of publication in the Official Journal. This vote will follow the so-called advisory procedure.
Interested parties also have the opportunity to request hearings within 5 days from the entry into force of the provisional measures and provide comments within 15 days from the entry into force. .
After taking into account the comments of interested parties, the Commission will publish its proposal with the final measures and will give interested parties a further 10 days to submit further comments. The final decision will be voted on by Member States and this vote will have binding effect, making duties are mandatory for a period of 5 years.
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