Site icon Turkish Minute

Turkey imposes 40 percent tariff on vehicle imports from China: report

This photo taken on May 22, 2017 shows a car passing new electric vehicles parked in a parking lot under a viaduct in Wuhan, central China's Hubei province. (Photo by AFP)

Turkey will impose a 40 percent additional tariff on imports of vehicles from China to halt a possible deterioration of its current account balance and protect domestic automakers, the trade ministry said on Saturday, Reuters reported.

China is facing increasing trade pressures worldwide over its growing exports of electric vehicles, which many countries claim are being heavily subsidized by Beijing to support its sputtering economy. The European Commission is expected to announce next week whether to impose provisional extra tariffs.

The additional Turkish tariff will be set at a minimum of $7,000 per vehicle, with effect from July 7, a presidential decision published in the country’s Official Gazette showed.

“An additional tariff will be imposed on import of conventional and hybrid passenger vehicles from China in order to increase and protect the decreasing share of domestic production,” the trade ministry said.

In a statement the ministry also said the additional tariff decision was made considering current account deficit targets and efforts to encourage domestic investment and production.

The decision said if the 40 percent tariff calculated from the price of an imported vehicle is under $7,000, then the minimum tariff of $7,000 will be charged.

In 2023 Turkey imposed additional tariffs on electric vehicle imports from China and brought some regulations regarding EV maintenance and services.

The government is encouraging more production and exports to reduce the chronic current account deficit, which stood at $45.2 billion last year.

Liked it? Take a second to support Turkish Minute on Patreon!
Exit mobile version