European Carmakers Urge Delay in EV Tariff Rules Amid Battery Supply Challenges
European and British carmakers are advocating for a delay in the implementation of stricter post-Brexit electric vehicle (EV) tariffs. These tariffs, under the EU-UK Trade and Cooperation Agreement, require a significant portion of a vehicle and its battery to be produced within the EU or UK to qualify for tariff-free trade. The battery industry, however, has not developed quickly enough to meet these requirements, leading to a previous extension of the rules until the end of 2026. Without further adjustments, vehicles not meeting the new local-content thresholds could face tariffs starting January 1, 2027. This situation highlights the gap between Europe's industrial-policy ambitions and the current state of battery supply chains.