Setback for Chinese EVs: EU votes in favour of imposing 45% tariff on China-made cars

The European Union has decided to impose tariffs as high as 45% on electric vehicles from China, which could be a setback for Chinese EV makers like BYD. This move aims to address unfair subsidies in the Chinese industry. The EU and China are in negotiations to find an alternative to the tariffs, such as controlling prices and volumes of exports. Chinese automakers may have to absorb the tariffs or raise prices, affecting their profit margins. Despite this, the impact on Chinese manufacturers in Europe is expected to be minor as Europe accounts for only a fraction of their total sales. German automakers are concerned about potential blowback from the tariffs, as China is a significant market for them.