Reported 7 months ago
The EU announced a temporary anti-subsidy tariff of up to 38.1% on Chinese electric cars, with Fitch Ratings warning that this could increase competition in the Chinese auto market. Most car manufacturers are promoting pure electric cars to consumers rather than hybrid vehicles, posing challenges for fossil fuel-based car companies. Fitch predicts a risk of market share loss for Chinese and overseas auto manufacturers of internal combustion engine vehicles, and expects Chinese electric car makers to diversify production and invest in alternative markets to adapt to higher global tariffs. By raising tariffs, the EU may inadvertently test Chinese brands' ability to navigate trade barriers, with BYD's major export markets being Brazil, Thailand, Israel, Australia, and Malaysia. Recent data from the China Association of Automobile Manufacturers shows a slight increase in May's production and sales of both traditional and new energy vehicles, with the latter achieving a market share of 39.5%.
Source: YAHOO