Business Express is an online portal that covers the latest developments in the world of business and finance. From startups and entrepreneurship to mergers and acquisitions, Business Express provides reporting on the stories that matter most to business leaders and decision-makers.The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.
COVID-19: Raising share capital or social capital
Capital Gains & Dividends High Quality Stock Photo

EU reticent to postpone Brexit tariffs on EVs, says UK auto body

EU reticent to postpone Brexit tariffs on EVs, says UK auto body

By Sachin Ravikumar

LONDON (Reuters) – The European Union is reticent about agreeing to Britain’s plea to postpone looming tariffs on the sale of electric vehicles (EVs) but carmakers remain optimistic a delay can be agreed, Britain’s auto industry body said on Monday.

Under the Brexit trade deal, the sale of EVs between Britain and the EU will attract 10% tariffs from January, unless 45% of the value of the vehicle comes from Britain or the EU under so-called “rules of origin”.

With many EV batteries imported from China, the tariffs would hit automakers both in Britain and the EU and could lead to higher EV prices for consumers, hindering efforts to cut carbon emissions.

Several major car companies have warned their British car plants will become uncompetitive if the tariffs go ahead. Stellantis, the world’s No. 3 carmaker by sales and the owner of the Vauxhall, Peugeot, Citroen and Fiat brands, has said British car plants will close if a deal cannot be agreed.

“Clearly, there has been some reticence or nervousness in Brussels about whether this is something that they would be willing to accept,” Society of Motor Manufacturers and Traders (SMMT) Chief Executive Mike Hawes said in an interview, of Britain’s call to postpone the tariffs until 2027.

Hawes said the question of the French government’s position on the issue remained unclear, after recent media reports that Germany was in favour of a tariff waiver.

Don't miss out on any breaking news or insightful opinions!
Subscribe to our free newsletter and stay updated on the go!

By submitting this form, you are consenting to receive marketing emails from: Global Banking & Finance Review. You can revoke your consent to receive emails at any time by using the SafeUnsubscribe® link, found at the bottom of every email.

“I suppose there is a nervousness about reopening something (in the Brexit deal) … and if you reopen one bit, does that open it up for the rest? But in this case, it’s just about EVs,” he said.

A European Commission spokesperson said the Brexit deal was the outcome of negotiations in which Britain and the EU agreed to an “overall balance of commitments,” but noted issues raised by either side could be examined by bodies set up by the deal.

If an agreement isn’t reached, carmakers would work to ensure their vehicles don’t become uncompetitive because of tariffs, Hawes added.

At a press briefing earlier on Monday, he said the industry remained optimistic of an agreement.

“It makes common sense because the last thing you want to do is put additional tariffs on the very vehicles you’re encouraging people to buy.”


(Reporting by Sachin Ravikumar; Additional reporting by Philip Blenkinsop in Brussels; Editing by Mark Potter)

Recent Post: