“Tesla” and “BMW” are the two European Union.

On electric cars made in China ..

The American “Tesla” and German “BMW” filed a lawsuit against the European Union for customs duties imposed on electric cars made in China, before the European Union’s Supreme Court.

This came in a statement from the European Commission, today, Monday, as UNHCR spokesman, Olof Jail, indicated that these cases were taken into account, with aspiration to defend the European Union in the court.

Chinese auto companies, such as “BYD”, “Jelly” and “Seik”, had previously submitted a similar lawsuit before the European Union’s Court of Justice against additional fees that reach 35% on electric cars coming from China.

At the end of October 2024, Brussels imposed additional customs duties on electric cars made in China, based on the results of an investigation in combating government support, as it was found that government support provided by Beijing unrelently enhances the ability of Chinese companies to sell their cars at low prices in the European market, What harms competition with European companies.

The move came at a time when the European auto sector is suffering a severe crisis due to the high production costs, slow transformations towards electric cars, and the increase in competition from the Chinese market, which is witnessing rapid growth in this sector.

It is noteworthy that these measures come after a more strict step than the United States, as former US President Joe Biden announced that import fees for electric cars from China to 100%, as part of a package of increases that included several products, accused of Beijing of “cheating” instead of competition Al -Sharifa, on its part, the Chinese government has repeatedly denied that its industrial policies were unfair, and announced that a complaint to the World Trade Organization against European drawings.

Regarding European drawings, the “Tesla” cars made in Shanghai face additional fees by 7.8 % over the 10 % customs duties imposed on Chinese electric cars.

While other companies such as “BYD” face 17% fees, and “Geely” by 18.8%, we find that the fees on “Seik” cars reach 35.3%. The German government is preparing one of the five member states of the European Union that objected to On these drawings, for fear of a retaliatory reaction against its manufacturers.

German brands such as “BMW” have a strong location in the Chinese market, especially as they produce some of their models there, including those dedicated to the European market. The market share of Chinese electric cars in the European Union has witnessed significant growth in recent years, reaching 14% In the second quarter of 2024, compared to less than 2% in 2020.

The share of cars manufactured in China, including Tesla cars, increased to 27.2% compared to 3.5% in the same period. The European Union car sector is one of the most important economic sectors, providing more than 13 million jobs and constitutes about 7% of the output. The total local of the union.

Therefore, the heads of European companies and European Union officials are expected to discuss the problems this sector faces at a meeting to be held next Thursday under a new initiative headed by the President of the European Commission, Ursula von der Line.

Issues related to customs duties and competition for the electric car market between China and Europe continue to attract attention on the international scene, with anticipation of the resulting European courts in the coming period.