The European Union has requested that the UK increase tariffs on electric vehicles imported from China. Brussels suggests that London align its trade policies with the bloc to avoid potential barriers for British exports, specifically mentioning the possibility of joining the EU customs union as a solution.
The British government has rejected the proposal to join the EU customs union. Officials stated that trade measures will be determined independently based on national economic interests. The UK aims to maintain its position in European supply chains while continuing efforts to attract Chinese investment into domestic manufacturing.
In 2024, the UK did not follow the EU in imposing additional tariffs on Chinese electric vehicles. Currently, Chinese manufacturers hold a 16 percent share of the new car market in the UK. Meanwhile, the EU implemented countervailing duties on Chinese battery electric vehicles in October 2024, ranging from 7.8 percent to 35.3 percent.
The UK is actively seeking Chinese capital, including negotiations to bring production by Chery to the Nissan plant in Sunderland. However, industry leaders have warned that the UK risks becoming a transit corridor for Chinese vehicles into the EU, which complicates the country's strategy of balancing trade relations and investment attraction.
