European Union may significantly reduce tariffs on two Chinese-made electric vehicles, Volkswagen and BMW

On July 19, according to media reports citing two sources, the European Union Commission has sent a signal to Volkswagen and BMW that it may consider significantly reducing the high tariffs imposed on the two models produced in China and imported into Europe. The two models, BMW's new electric MINI COOPER and Volkswagen Seat's Cupra Tavascan, have been facing tariffs of up to 37.6% since the new regulations came into effect in early July. It is reported that the European Union Commission is now willing to classify the two automakers as so-called "cooperative companies", so that the tariff can be reduced to 20.8%. If the European Commission finally reaches an agreement with Volkswagen and BMW, it will mark the first time it has compromised on tariff policy. According to reports, there are objections within the European Commission that it will harm the interests of some of Europe's top automakers. In addition, Chinese electric vehicles produced by US automakers such as Tesla may also enjoy a separate tax calculation at the final stage.