Chinese automakers are getting around EU trade tariffs with hybrids

China’s automakers are ramping up exports of hybrid vehicles to Europe and are planning more models for the key market, exposing the limits of the EU’s electric vehicle trade tariff system, Reuters reported.

The latest EU trade tariffs on electric vehicles (to protect the auto industry from cheap Chinese imports) do not apply to hybrids, which analysts told Reuters could keep major brands, such as China’s biggest electric carmaker BYD, from expanding into the bloc.

Some manufacturers are also shifting production and assembly to Europe to cut costs around the trade tariffs

“The increase is being driven by Chinese manufacturers shifting to plug-in hybrids as a way to get around new EU trade tariffs on battery-electric vehicle imports from China,” an analyst at Counterpoint Research told Reuters.

Share on Facebook

Post on X