Volvo Cars is relocating production of its electric vehicles, specifically the EX30 and EX90 models, from China to Belgium. This strategic move comes as the European Union prepares to decide whether to raise import tariffs on Chinese electric car manufacturers.
The Swedish automaker, majority-owned by China's Zhejiang Geely Holding Group, initially considered halting sales of Chinese-made EVs in Europe altogether. However, sources close to the company have confirmed this is no longer under consideration.
The EU is expected to announce a decision on potential tariff increases for Chinese electric car exporters this week, with the new rates potentially taking effect from July 4. Currently, the import tariff stands at 10 percent.
Trade tensions between the EU and China have escalated since Brussels launched an investigation into subsidies for Chinese electric cars and tenders involving Chinese companies with state support.
