German car manufacturers under pressure from sanctions


Close ties: Cars being assembled in a Mercedes-Benz factory in Germany. The automaker has a partnership with Geely to build vehicles under the Smart brand in China. — Reuters

IN mid-June, after months of investigation, the European Commission announced potential import tariffs on battery electric vehicles (EVs) from China in the range of 17% to 38%, differentiated by manufacturer. This would be on top of the current standard tariff of 10%.

The decision is preliminary and needs to be confirmed by the commission by July 4. The new tariffs are the subject of much debate among European Union (EU) policymakers. In particular, the German government, and automakers headquartered in Germany, are positioned against higher import tariffs.

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