Tesla boss Elon Musk criticises US tariffs on Chinese electric vehicles
GuardianMAY 2024
Report: Chinese Carmakers Float 25% Tax on EU Rivals
Above: Xiaopeng Motors concept of integrating land and air vehicles is displayed during the Auto China Show 2024 on April 26, 2024 in Beijing, China. Image copyright: Emmanuel Wong/Contributor/Getty Images News via Getty Images
The Spin
Pro-China narrative
Free trade means fair trade, and the West has been wholly unfair in its treatment of Chinese vehicles. The PRC is leading the world in EV research and development, and there's great demand for their vehicles. China must retaliate against the EU's unfair move by instituting its own tariffs. The market, not the West, picks the winners and losers.
Anti-China narrative
Unlike the EU, China cheats the system by unfairly subsiding their automakers — allowing them to flood the market at rock-bottom prices. This is a matter of one country trying to snuff out the development of a domestic EV industry in another. Until China plays by the rules and stops giving their vehicles an unfair leg-up, these tariffs will remain in effect.
Metaculus Prediction
There's a 50% chance that at least 89.6% of new car sales in China will be electric in 2035, according to the Metaculus prediction community.
