China’s Commerce Ministry has urged the UK to follow World Trade Organization rules and consider carefully any restrictions on Chinese electric vehicles, warning that Beijing would take countermeasures if London proceeds. The warning follows UK Trade Minister Anas Sarwar’s disclosure that the government is discussing possible EV import tariffs with European partners. The UK has not announced a proposed rate or timetable.
A Politico report on October 15 said Sarwar favored closer UK-EU coordination on policy toward China’s role in the auto industry. One possible factor is the EU’s “Made in Europe” framework, which prioritizes European-based production in some public procurement programs; UK companies could be disadvantaged if excluded. The issue is also part of broader UK-EU trade discussions. The Financial Times reported on September 25 that the EU had pressed Britain to raise tariffs on Chinese EVs and linked treatment of UK goods to wider trade-policy cooperation.
The UK did not follow the EU’s additional duties in 2024. The EU began applying countervailing duties to Chinese-made battery-electric vehicles in October that year for five years, with additional rates of 7.8% to 35.3% on top of the standard 10% import tariff, bringing the maximum total to 45.3%. UK officials must also weigh possible effects on domestic automakers: Business Secretary Jonathan Reynolds has noted that the industry relies heavily on exports, making the consequences of retaliation an important consideration.