On July 4, the European Commission announced major import tariffs on electric vehicles manufactured in China. These duties came into effect a day later, on July 5. Per the original plan, the BMW Group’s electric MINI Cooper and Aceman shipped to Europe were hit with a substantial 37.6% tax. However, there has been a change of plan as the two EVs are now facing a much lower surcharge of 21.3%.
Spotlight Automotive, the joint venture between the BMW Group and Great Wall Motor, is now considered a “cooperating company.” However, Teslas built in China and sold in Europe face a much lower 9% tariff. Why? Because it received lower subsidies from the Chinese authorities compared to other local automakers.
BYD cars are now hit with a 17% tariff while vehicles built by Geely qualify for a 19.3% duty rate, per the draft decision announced on August 20. All the “non-cooperating companies” are listed at this provisional stage with a massive 36.3% import duty. According to the European Commission, the final EV import duties will be published by October 30, following a vote from EU countries. The tariffs will be in place for at least five years.
As a refresher, BMW asked the European Commission to reevaluate these steep tariffs at the beginning of July. Earlier this month, CEO Oliver Zipse criticized the EC by saying import duties on Chinese EVs only lead to a “dead-end street.” The zero-emission Cooper hatchback and Aceman crossover are assembled exclusively at a new factory in Zhangjiagang in China’s Jiangsu Province.
At least in theory, the two models should become substantially cheaper to buy in 2026 when production will start at home in Oxford. By assembling the cars in the United Kingdom, the EVs won’t be slapped with the import duty anymore. That also might open the possibility of seeing the two go on sale in the United States in a couple of years.
Lest we forget the current iX3 on the CLAR platform is also made in China. However, it will be replaced in 2025 when BMW will launch its Neue Klasse-based successor. The electric crossover is going to be assembled at the all-new Debrecen plant in Hungary. In China, BMW also builds and sells a CLAR-based i3 as a long-wheelbase electric sedan. The rest of the world will get an NK-based i3 from 2026 when production will start in Munich, Germany.
Source: European Commission