TECH - Mercedes-Benz CEO Calls For Lower EU Tariffs On Chinese EVs Amid Commission Probe: 'Let Competition Play Out' | Benzinga
Amid ongoing trade tensions, the CEO of Mercedes-Benz has made a public plea for the European Union to reconsider its stance on tariffs for Chinese electric vehicles. This comes at a critical time when the European Commission is actively investigating the impact of Chinese subsidies on the automotive sector.
What Happened: The chief executive of Mercedes-Benz, Ola Källenius, has urged the European Union to reduce tariffs on electric vehicles imported from China. This appeal comes as the European Commission contemplates increasing import duties due to an ongoing investigation into China’s subsidies for its car industry, as reported by the Financial Times on Tuesday.
"Don't raise tariffs. I'm a contrarian, I think go the other way around: take the tariffs that we have and reduce them," he said.
Källenius argues that welcoming competition from China could enhance the quality of European cars over time. He called the entry of Chinese carmakers as a "natural progression of competition and it needs to be met with better product, better technology, more agility.”
"That is the market economy. Let competition play out,” he added.
The European Commission’s probe is centered on whether Chinese carmakers benefit from state subsidies, allowing them to offer lower-priced vehicles in Europe and potentially undercut European manufacturers. French carmakers like Stellantis (NYSE:STLA) ...