Tesla CEO Elon Musk has expressed his opposition to US tariffs on Chinese electric vehicles (EVs), following President Joe Biden’s recent decision to quadruple levies on EVs imported from China. Speaking via video link at a technology conference in Paris, Musk stated, “Neither Tesla nor I asked for these tariffs.”
This stance contrasts with his warning in January, where he predicted that Chinese car manufacturers would “demolish” their global competitors if trade barriers were removed. The White House explained that the new tariffs, including a 100% levy on Chinese EVs, aim to counter unfair policies and protect American jobs.
“I was surprised when the tariffs were announced. Restrictions on free trade or market distortions are not beneficial,” Musk commented on Thursday. He emphasized that Tesla performs well in the Chinese market without tariffs or preferential support, advocating for a tariff-free trade environment.
President Biden has continued some tariffs on China from the Trump administration while increasing trade pressure on Beijing. He recently committed to preventing China from “unfairly controlling the market” for EVs and other critical goods like batteries, computer chips, and medical supplies.
In response, China has expressed its opposition to the tariff increases and promised retaliatory actions. This week, China initiated an anti-dumping investigation into imports of a widely used plastic from the US, EU, Taiwan, and Japan. The Ministry of Commerce’s probe into polyoxymethylene copolymer, used in electronics and cars, signals China’s intent to retaliate in ongoing trade disputes.
Additionally, China indicated it might impose tariffs up to 25% on large-engine cars imported from the EU and the US. The China Chamber of Commerce to the EU mentioned that it had received information about this potential move from “insiders.” The European Commission has set a deadline of July 4 to decide on measures against imports of Chinese-made EVs.
