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As part of its ongoing investigation, the EU Commission has provisionally concluded that China's battery electric vehicle (BEV) value chain benefits from unfair subsidisation, posing a threat of economic injury to EU BEV producers. This investigation also examined the potential impact of measures on importers, users, and consumers of BEVs in the EU.

In response, the Commission has initiated discussions with Chinese authorities to resolve these issues in a WTO-compatible manner. Should these discussions fail, provisional countervailing duties will be imposed on Chinese BEV imports from 4 July, collected only if definitive duties are later imposed.

The proposed duties for the three sampled Chinese producers are as follows: BYD at 17.4%, Geely at 20%, and SAIC at 38.1%. Other cooperating Chinese BEV producers will face a weighted average duty of 21%, while non-cooperating producers will face a residual duty of 38.1%.

The investigation, initiated on 4 October 2023, must conclude within 13 months. Provisional duties could be published by 4 July, with definitive measures imposed within four months thereafter. Tesla, as a Chinese BEV producer, may receive an individually calculated duty rate at the definitive stage. Other producers can request an accelerated review post-definitive measure. All interested parties, including EU and Chinese stakeholders, are informed of the provisional duties and can provide feedback. Sampled companies have received their specific calculations and may comment on their accuracy, potentially leading to revised duties.

Source and further details: European Commission