Chinese EVs still cheaper than Teslas in U.S. after tariff hike

Supply chain advantages help BYD and others compete on price

20240914N BYD

Chinese automaker BYD's lowest-priced model in the U.S. would still be the cheapest in the market even with a 100% tariff, according to an industry analyst. © Reuters

RYOHEI YASOSHIMA and AZUSA KAWAKAMI, Nikkei staff writers

WASHINGTON/NEW YORK -- Even after the Biden administration's huge tariff increase on imported Chinese electric vehicles takes effect, some models will remain cheaper than competing American cars, a sign of the deep-set challenges facing Washington's EV policy.

The 100% duty on EVs, announced Friday and set to take effect Sept. 27, follows a four-year review prompted by what the Office of the U.S. Trade Representative called unfair trade practices.

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