Tesla has filed a lawsuit against the European Commission regarding tariffs on electric vehicles imported from China, which could take up to six months to resolve in the European Court of Justice.
The tariffs, effective from October 2024, impose up to 35.3% on Chinese-made electric cars, while Tesla benefits from a reduced rate of 7.8% due to receiving minimal support from the Chinese government.
The EU's investigation indicated that the Chinese BEV value chain is unfairly subsidized, threatening European manufacturers. This move aims to ensure fair competition, as stated by Bernd Lange, Chair of the European Parliament's International Trade Committee.
Approximately 300,000 electric vehicles sold in the EU in 2024 were produced in China, accounting for about 20% of the market.
China has contested these tariffs through the World Trade Organization, and several European manufacturers, including BMW, Mercedes-Benz, Volkswagen AG, and Volvo, oppose the trade war. Other companies, like BMW and Chinese automakers BYD, Geely, and SAIC, have also filed lawsuits against the EU.