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ARTICLE · 21 SEPTEMBER 2023

Electrical Vehicles Imported From China Spark EC Anti-Subsidy Investigation

Tereposky & DeRose
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On September 13th, the European Commission (EC) announced that it will be initiating a countervailing duty (i.e., anti-subsidy) investigation concerning electric vehicles (EVs) from China.

GlobalInternational Law
Greg Tereposky
Greg Tereposky
Daniel Hohnstein
Daniel Hohnstein
Jack Bowness
Jack Bowness

On September 13th, the European Commission (EC) announced that it will be initiating a countervailing duty (i.e., anti-subsidy) investigation concerning electric vehicles (EVs) from China. The announcement was made by the President of the EC, Ursula von der Leyen, during the State of the Union address. She stated that "global markets are now flooded with cheaper Chinese electric cars" whose "price is kept artificially low by huge state subsidies", and "[t]his is distorting" the EU market.

Once initiated, the investigation will be completed within 13 months. In the course of the investigation, the EC will need to gather evidence to (i) identify and quantify countervailable subsidies granted specifically to the Chinese EV industry and/or specific manufacturers in China, and (ii) determine whether imports of subsidized EVs from China have caused material injury to the EU EV industry or are threatening to cause such injury. Automotive manufacturers and the governments

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