European Commission threatens higher tariffs on Chinese electric cars

Hundreds of new Dolphin cars from the Chinese car manufacturer BYD are parked in the port in Bremerhaven. Lars Penning/dpa

The European Commission threatened on Wednesday to impose import tariffs on Chinese electric cars of up to 38.1%, after an investigation found evidence of illegal support from subsidies.

The subsidies cause the "threat of economic injury" to electric car producers in the European Union, the commission said. The provisional tariffs on Chinese manufacturers could range from 17.4% on BYD, 20% on Geely and 38.1% on SAIC.

Manufacturers that did not cooperate with the commission investigation could be hit with import tariffs of 38.1%.

The EU threat follows a US move to impose punitive measures on Chinese electric car imports. Washington raised tariffs to 100%.