SAIC Motor Group Requests Hearing on EU's Temporary Anti-subsidy Duty Measures for Chinese Electric Vehicles

TapTechNews July 5th news, SAIC Motor Group announced today that in order to effectively safeguard its legitimate rights and interests and the interests of global customers, SAIC Motor Group will officially request the European Commission to hold a hearing on the temporary anti-subsidy duty measures for Chinese electric vehicles to further exercise the right of defense in accordance with the law.

The contents of the defense include:

The anti-subsidy investigation of the European Commission involves commercial sensitive information, such as the investigation requires to provide chemical formulas related to batteries, etc., which exceeds the normal investigation scope.

The European Commission has an error in the identification of subsidies, such as including the new energy vehicle purchase subsidies given to domestic consumers in the subsidy rate calculation for sales in the European Union.

The European Commission ignored some information and defense opinions submitted by SAIC during the investigation process, and based on the so-called "non-cooperation in the investigation" in Article 28 of the Basic Anti-subsidy Regulations, made an unfavorable presumption and inflated the subsidy rates of multiple projects.

SAIC Motor Group Requests Hearing on EUs Temporary Anti-subsidy Duty Measures for Chinese Electric Vehicles_0

Since local time on the 5th (Friday, today), the European Union has imposed a maximum tariff of 37.6% on electric vehicles made in China and exported to the region. During the "window period" of four months (TapTechNews note: the final tariff will be imposed starting from November, and what is imposed today is the "temporary tariff"), it is expected that the two sides of China and the European Union will continue to have intensive negotiations.

According to the "anti-subsidy investigation" of the European Union, SAIC Motor Group will be additionally imposed a tariff of 37.6% on the basis of the existing 10% tariff, and Geely and BYD will be additionally imposed tariffs of 19.9% and 17.4% respectively.

Other Chinese electric vehicle manufacturers that cooperate in the investigation but are not spot-checked will be imposed an additional weighted average tariff of 20.8%, while enterprises that do not cooperate in the investigation will face an additional tax of 37.6%.

During the window period, the EU member states will vote to decide whether to convert the temporary tariff into a formal tariff lasting for 5 years. The European Union and the Chinese government are still seeking a solution in line with WTO rules through technical discussions. Compared with the pre-disclosed tax rate on June 12, 2024, the temporary tariff has been slightly reduced according to the opinions put forward by relevant parties on the calculation accuracy.