European Union to impose tariffs on Chinese plug‑in hybrid cars

China’s stricter electric‑range requirements for plug‑in hybrid vehicles (PHEVs) have prompted European manufacturers to scale back or withdraw hybrid models from the Chinese market, while Chinese brands are expanding their PHEV offerings and preparing exports to Europe. In response, the European Union is planning new anti‑dumping duties on imported Chinese PHEVs, mirroring the tariffs already applied to Chinese battery‑electric vehicles. The proposed duties could add up to 30% on top of existing rates, targeting producers such as BYD, SAIC Motor and Chery, and aim to correct market distortions and protect European carmakers.

The move reflects growing trade tensions as Chinese automakers capture a growing share of the European market, with PHEVs accounting for about 10% of sales in 2025. European officials argue the measures are needed to prevent a destabilisation of the auto sector and to ensure a level playing field for domestic manufacturers.