Musk is against the implementation of US tariffs on Chinese electric vehicles

Elon Musk, CEO of Tesla, voiced his opposition to US tariffs on Chinese electric vehicles (EVs), following President Joe Biden’s decision to increase levies on such imports.

Musk stated during a technology conference in Paris via video link that neither Tesla nor himself had requested these tariffs. This stance contrasts with his earlier warning in January about potential domination by Chinese car makers if trade barriers were removed.

The recent White House announcement of new measures, including a 100% tariff on EVs from China, was justified as a response to unfair policies and aimed at safeguarding US jobs. Musk expressed surprise at the tariffs, highlighting his belief that hindrances to free exchange or market distortion are detrimental. He emphasized Tesla’s successful competition in China’s market without tariffs or preferential support, advocating for a tariff-free environment.

Despite President Biden’s retention of tariffs on China from the previous administration and his commitment to resisting China’s market dominance in key goods like electric vehicles, China denounced the tariff hikes and threatened retaliatory measures. China initiated an anti-dumping probe into imports of a commonly used plastic from the US, EU, Taiwan, and Japan, signaling its readiness to respond to trade disputes. Additionally, China hinted at imposing tariffs of up to 25% on cars with large engines imported from the EU and US.

The European Commission set a deadline of 4 July to decide on potential measures against imports of Chinese-made EVs in response.