The German Chancellor, Olaf Scholz, has warned of the dangers that closing markets to foreign competition, mainly from China, could pose for the European economy.
“We are not going to close our markets to foreign companies because that is not what we want for our companies,” said the German leader during his visit to the Opel plant in Rüsselheim, in the west of the country, for the commemoration of the 125 years of the automobile brand.
The protectionism and tariffs that the European Union (EU) plans to impose on imports of electric vehicles from China are trade policies that, for the chancellor, make products more expensive and impoverish society.
“I have no doubt that we will continue to be at the forefront of the automotive industry in this century if we focus on progress and innovation,” he commented while calling for fairer and freer trade internationally.
At the moment, the calculations that have been published estimate that the impact of these trade obstacles with China could cost Beijing almost 4 billion dollars (more than 3.6 billion euros).
Consequently, the number of Chinese electric vehicles imported into the EU would be reduced by a quarter – some 125,000 cars – if Brussels imposed a 20% tariff, according to the data offered in the Institute’s latest analysis of the global economy. Kiel.
For its part, the United States will apply the increase in tariffs from 25% to 100% for the import of electric vehicles from China from next August 1, when the increases on the purchase of batteries, microchips for the technology industry will also come into force. and medical products, in accordance with the public intentions of the office of the US Trade Representative
At the moment, China has not officially announced any retaliation, although Beijing has indicated that it is willing to impose tariffs of up to 25% on imported cars with large displacement engines, which would mainly affect Mercedes-Benz and BMW.
Electric vehicles made by Chinese brands such as MG and BYD accounted for just under 9% of battery vehicles sold in Europe in 2023, according to Dataforce. Although this figure is expected to increase to approximately a fifth of the old continent’s market share by 2027, according to Transport & Environment estimates.
