EV makers threaten to leave UK if EU doesn’t defer import duties By Investing.com

EV makers threaten to leave UK if EU doesn’t defer import duties By Investing.com

Michael Elkins | Investing.com

Posted on 19.09.2023 09:35

Investing.com – The United Kingdom wants to delay tariffs on electric car exports to the European Union, but the Association of British Car Manufacturers says it is unwilling to accept the request. However, companies believe that tax deferrals can be negotiated.

When the United Kingdom left the European Union, from January, it was agreed that electric cars sold between the territories would have to pay a 10% tax, which would only be waived if it made up at least 45% of the value of the vehicle. United Kingdom or European Union. This is called the “laws of appearance”.

The problem is that many electric car batteries come from China, and if the tariffs were imposed, it would become more expensive to produce and sell electric cars between the UK and the EU, hampering local authorities’ plans to reduce pollution. Atmosphere.

Many car manufacturers have already warned that their UK factories could lose customers if the levy is imposed.

Stellantis (NYSE:STLA), one of the world’s largest carmakers and owner of brands such as Vauxhall, Peugeot (OTC: PUGOY), Citroen and Fiat, said it may close its British factories. , if there is no agreement.

“It is clear that there is little resistance or wariness in Brussels to accept this proposal,” said Mike Hawes of the SMMT.

“It makes sense because nobody wants to charge extra for cars that people are encouraged to buy,” Hawes added.

You May Also Like

About the Author: Morton Obrien

"Reader. Infuriatingly humble travel enthusiast. Extreme food scholar. Writer. Communicator."

Leave a Reply

Your email address will not be published. Required fields are marked *