Britain is preparing to impose tariffs on Chinese electric vehicle imports, a move driven by pressure from Brussels to prevent the UK from becoming a backdoor into the European market, The Times reported on Sunday.
Business minister Jonathan Reynolds is drafting a package of potential levies on Chinese car imports amid concerns that Beijing is dumping state-subsidised vehicles into Britain, the report said. Ministers are ready to align with the European Union’s 45% tariff on Chinese EVs to avoid losing access to the bloc’s Made in Europe scheme.
EU officials have warned that Britain could be excluded from the preferential mechanism if it fails to act on Chinese EV imports, according to the newspaper. Brussels is concerned that Chinese automakers could use the UK as a conduit into European markets.
UK officials have weighed the risk of retaliation against Jaguar Land Rover by China, but concluded that the economic damage from being shut out of the EU’s Made in Europe framework would be far greater, the report added.
Reuters was unable to immediately verify the report.
Once added, BigGo Finance appears first in Google Search Top Stories, so you get the broadest, most up-to-the-minute, and most comprehensive global financial news first.