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Why Europe's Vaunted Car Industry Is in Crisis, in Charts

The European car industry is facing potential disruptions due to the threat of increased tariffs on electric vehicles exported to the U.K. post-Brexit. The European Union and the U.K. are currently negotiating to extend a temporary agreement that allows electric vehicles to be traded without tariffs, which is set to expire at the end of 2023. If no deal is reached, a 10% tariff could be imposed on EVs that do not meet local content requirements, potentially affecting companies like Volkswagen and Stellantis. These tariffs could increase costs, reduce competitiveness, and slow down the transition to electric vehicles in Europe. The industry is pushing for a delay in these rules to give manufacturers more time to adapt their supply chains, especially amidst challenges like the ongoing chip shortage and the need to localize battery production.

Read the Full Wall Street Journal Article at:
[ https://www.wsj.com/business/autos/european-car-industry-tariffs-volkswagen-stellantis-e0cac3d5 ]