SAIC Motor Group Requests EU to Hold Hearing on Electric Vehicle Anti-subsidy Tariff

TapTechNews July 5th news, SAIC Motor Group released a statement today, saying that in order to effectively safeguard its own legitimate rights and interests and the interests of global customers, SAIC Motor Group will officially request the European Commission to hold a hearing on China's temporary anti-subsidy tariff measures for electric vehicles and further exercise the right of defense according to law.

The defense contents include:

The anti-subsidy investigation of the European Commission involves commercially sensitive information, such as the investigation requires to provide the chemical formula related to the battery, etc., which is beyond the normal scope of the investigation.

The European Commission's identification of subsidies is wrong, such as including the new energy vehicle purchase subsidies given to domestic consumers in the calculation of the subsidy rate sold in the EU.

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

SAIC Motor Group Requests EU to Hold Hearing on Electric Vehicle Anti-subsidy Tariff_0

From local time on the 5th (Friday, today), the EU imposes a tariff of up to 37.6% on electric vehicles made in China and exported to the region. During the four-month 'window period' (TapTechNews note: the final tariff will be collected starting from November, and what is collected today is the 'temporary tariff'), it is expected that China and the EU will continue to have intensive negotiations.

According to the EU's 'anti-subsidy investigation', SAIC Motor Group will be additionally imposed a tariff of 37.6% on the existing 10% tariff basis, 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 randomly inspected will be imposed an additional weighted-average tariff of 20.8%, while enterprises that do not cooperate in the investigation will face an additional taxation of 37.6%.

During the window period, EU member states will vote to decide whether to convert the temporary tariff into a formal tariff for a period of 5 years. The EU and the Chinese government are still seeking solutions 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 the relevant parties on the calculation accuracy.