(BFM Bourse) – The shares of European car manufacturers are under pressure this Wednesday, as Beijing studies a temporary increase in customs duties on vehicles equipped with large engines.
The European automobile sector is slipping on the stock market this Wednesday, under the threat of a trade retaliatory measure from China. The Middle Kingdom intends to temporarily raise its customs duties to 25% on imports of European and American vehicles equipped with engines of more than 2.5 liters.
The Chinese Chamber of Commerce to the European Union said it was informed of this potential measure by “insiders”, according to a statement published on X.
The Chamber refers to an interview with Liu Bin, chief expert of the China Automotive Technology & Research Center and deputy director of the China Automotive Strategy and Policy Research Center, given to the Chinese media Global Times, in which he advocates such a measure.
According to this expert, this adjustment would “not only comply” with the rules of the World Trade Organization (WTO), but it would also aim to promote the ecological transition in the automobile industry and pursue the objective of reducing emissions. of carbon in China.
A Chinese shadow
The Chinese authorities are therefore once again puffing out their chests in reaction to the various protectionist measures announced in the United States and Europe. The Biden administration announced last week a significant increase in customs duties on many Chinese products including semiconductors, or electric cars, whose import taxes will be multiplied by four from August 1.
The European Union, for its part, has decided to open an investigation into Chinese subsidies granted to electric vehicles. The Commission must announce on June 5 if it decides to increase its customs duties on Chinese electric cars, currently taxed at 10%, after an investigation officially opened on October 4, recalls AFP. These compensatory measures could apply from July 4.
“Trade investigations and warnings of retaliation from China do not deter the European Union,” note Eurasia Group analysts cited by Bloomberg. “Brussels is keen to send a strong signal to Beijing with its investigation into electric vehicles, indicating that the European Union will counter Chinese subsidies and overcapacity,” they continue.
In the meantime, high-end German manufacturers are on the front line of this potential increase in Chinese customs duties. On the Frankfurt Stock Exchange, Porsche shares fell by 3.8%, while BMW lost 1.8%, Mercedes and Volkswagen both returned 1%.
On the Paris Stock Exchange, reactions are a little more measured for French manufacturers, who are less exposed to this risk. Stellantis limits its decline to 0.4% while Renault is doing better and progressing by 0.3%.
Sabrina Sadgui – ©2024 BFM Bourse
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