World Trade Organization official announcements

US and Canada Raise Tariffs on Chinese EVs to 100%, Prompting WTO Complaint from China

Oct 2, 2024, 01:04 AM

The Biden administration's recent tariff hike on Chinese electric vehicles (EVs) and related components took effect, raising tariffs on Chinese EVs imported to the U.S. to 100% from 25%, and on lithium-ion batteries and battery parts to 25% from 7.5%. This move is part of efforts to promote U.S. electric vehicle production. Tesla now no longer sells any cars in the U.S. that use a Chinese LFP battery. Meanwhile, Canada has also implemented new tariffs on Chinese EVs, which analysts predict will have repercussions beyond the electric vehicle market. In response, China has filed a complaint at the World Trade Organization (WTO) against Canada's trade protectionism and initiated an anti-discriminatory investigation into Canada's restrictive measures. The Chinese Ministry of Commerce has urged Canada to adhere to WTO rules and warned of necessary measures to counteract these tariffs.