After the EU took action against China's electric vehicles, it wants China to buy Airbus

Jintou.com

2024-06-05 17:25Posted on the official account of Zhejiang Jintou.com

Car sales tracking data reported by the Financial Times shows that in the first four months of 2024, one-fifth of all electric vehicles imported into Europe were made in China. In the first four months of this year, sales of Chinese electric vehicles in Europe increased by 23% compared to the same period in 2023. From January to April this year, 119,300 Chinese electric vehicles were registered in the UK and Western Europe.

The tariffs imposed by Europe on Chinese EV imports are much lower than those imposed by the United States, at 10% for the former and 100% for the latter (soon), but EU lawmakers have launched an investigation into imports and may restrict imports in the future.

In 2023, the average price of an electric car in Europe is about $50,000, while a similar car produced by the Chinese automaker BYD costs about $32,000, which is why the EU is doing things, and the so-called "overcapacity" is just an excuse.

Now, according to the South China Morning Post, EU officials told Chinese automakers this week that the European Commission is expected to impose temporary tariffs on Chinese-made electric vehicles from July 4. After that, the European Commission has four months to negotiate with member states to make the temporary tariffs permanent.

Analysts at Rhodium Consulting believe that tariffs below 50% are unlikely to block all Chinese EV imports and "protect" the EU's auto industry, given higher tariffs in other markets.

However, there is one more thing that could happen at this time – Airbus is in talks to sell 100 A330neo aircraft to China.

Previously, there was speculation that if the EU did take action against China's electric vehicles, China might retaliate with Airbus, although now due to speculation, the probability is still very high.

In addition to the EU's moves, the US has also said it recently – the US Secretary of Transportation said this week: "We need this industry." "If we don't, we're ceding the entire territory to China, as we see on solar panels."

It can be seen from this that there is certainly no room for maneuver in the United States.

In addition to developed markets, developing countries are also major buyers of electric vehicles in China, with Russia being the most prominent performer in the past two years, followed by ASEAN and South America.

It is worth mentioning that Latin America is currently showing great interest in CRRC, and Brazil is a typical representative.

Over the course of 2023, the value of China's BEV exports to Brazil soared 18-fold as automakers such as BYD expanded their presence in Brazil. During this period, Chinese BEVs accounted for 92% of Brazil's total BEV imports.

This trend continues to the present day. As of April 2024, Brazil has overtaken Belgium as China's largest export market for electric vehicles.

However, there is currently news that Brazil is also preparing to remove the duty-free policy for imported electric vehicles, and plans to gradually increase tariffs over the next three years, eventually reaching a 35% rate.

Of course, we still have a way to export to the outside world, setting up a factory in the seller, and it is certainly good to enhance the international reputation of China's electric vehicles, but the domestic export will definitely shrink appropriately.

Either way, one trend is certain – it is inevitable that China's electric vehicles will go global and lead the track in the future, no matter how they are.

View original image 17K

• 

•