Business · Trade · 1 hr ago

EU plans annual cap of 350,000 hybrid vehicle imports

EU plans annual cap of 350,000 hybrid vehicle imports

The European Union is preparing to limit hybrid vehicle imports to 350,000 a year, with the measure expected to begin on December 1.

The cap would apply to hybrid vehicles from all countries, not only China, in line with the World Trade Organization’s rule against discrimination; some countries may be exempt.

The limit would rise by 6% each year from the second year and remain in place for four years.

The plan comes as Chinese-made vehicles have gained ground in Europe after EU tariffs introduced in 2024 did not cover hybrids.

In August, vehicles made in China accounted for about a quarter of hybrid vehicle sales in Europe.

EU and Chinese officials have also discussed reducing trade tensions and protecting European industry, as well as easing some Chinese tariffs on car parts and other European goods.

Those tariff changes are planned as temporary measures, while talks on export controls and licensing for rare earths and permanent magnets are also continuing.

Sources

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