The European Union is preparing import tariffs on plug-in hybrids imported from China, according to a press report. The duties are intended to offset distortive subsidies that give Chinese manufacturers a competitive advantage.
UBS expert Patrick Hummel expects the tariffs to only moderately slow the growth of Chinese automakers in Europe. Chinese manufacturers already achieve higher margins in Europe than in their home market and are accelerating their strategy to set up production directly in Europe. Nevertheless, Hummel described the news as slightly positive for the European sector.
On stock markets, the plans from Brussels brought relief: BMW and Mercedes-Benz rose on Friday, after having fallen to lows not seen since 2020 following a profit warning from BMW. Volkswagen shares traded ex-dividend but were also up on an adjusted basis.
Source: www.handelsblatt.com
