EU and UK Carmakers Push for Delay in EV Tariff Rules Amid Battery Supply Challenges
European and British carmakers are urging the European Union to delay the implementation of stricter post-Brexit electric vehicle (EV) tariffs. These tariffs, set under the EU-UK Trade and Cooperation Agreement, require that a significant portion of a vehicle and its battery 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. The current rules were extended once, with the Council of the European Union approving an extension in December 2023, keeping existing 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 a gap between Europe's industrial-policy ambitions and the necessary battery supply chains. 
