No 10 leaves option open to impose Chinese EV tariffs if UK joins EU scheme
News Source
β’Fri, 16 Oct 2026 18:09:34 GMT
π° What Happened
Downing Street says it would welcome the UK joining the European Union's Made in Europe scheme, but has not ruled out putting taxes on Chinese-made electric cars. France dropped its opposition to Britain joining. In return, the UK would have to match EU tariffs on Chinese electric vehicles brought in during 2024. China's embassy in London said it firmly opposes any "discriminatory" measures and has raised serious concerns with the UK.
π The Backstory
The European Union wants to curb cheap, subsidised Chinese car imports by favouring EU-made products. The UK fears losing billions of pounds in car trade if it is shut out of EU supply chains. Chinese electric car sales are climbing fast in Britain; BYD was up 78% year on year in September.
About 80% of UK-made cars are exported, and more than half go to the EU. EU lawmakers hope to pass the law by early 2027.
π― Why It Matters
Tariffs could protect UK car factories and jobs. But they may also push prices up for buyers and start a trade fight with China.
Downing Street says it would welcome the UK joining the European Union's Made in Europe scheme, but has not ruled out putting taxes on Chinese-made electric cars. France dropped its opposition to Britain joining. In return, the UK would have to match EU tariffs on Chinese electric vehicles brought in during 2024. China's embassy in London said it firmly opposes any "discriminatory" measures and has raised serious concerns with the UK.
The European Union wants to curb cheap, subsidised Chinese car imports by favouring EU-made products. The UK fears losing billions of pounds in car trade if it is shut out of EU supply chains. Chinese electric car sales are climbing fast in Britain; BYD was up 78% year on year in September.
About 80% of UK-made cars are exported, and more than half go to the EU. EU lawmakers hope to pass the law by early 2027.
Tariffs could protect UK car factories and jobs. But they may also push prices up for buyers and start a trade fight with China.