The Chinese Government is going to a “additional tax” showdown!

The Chinese Government has started preparing a new tax to counter the “additional tax” measure taken against Chinese automobile brands. According to the emerging information and news, the Chinese Government has rejected the additional tax regulation initiated by the European Union against Chinese automobile brands. Accordingly, there will now be an additional tax on European car brands that will sell in China. Here are the details…

The Chinese Government will start collecting additional taxes from German automobile manufacturers!

We can say that the ropes between the European Union and the Chinese Government are thinner than a fishing line, so to speak. The relations between both boards are decreasing and becoming conflicting day by day. In addition, trade measures and decisions taken between the two parties also largely affect the manufacturer brands.

Recently, the European Union has taken new measures against Chinese automobile manufacturers. In the statements made, it was reported that these measures were taken to protect European producers and not to disrupt the course of market balances. Accordingly, automobiles of Chinese origin would be subject to additional tax regulations of up to 38.1 percent.

Here, additional tax rates vary from brand to brand. For example, BYD, which is very popular in Turkey, was subject to a rate of 17.4 percent, Geely was subject to a rate of 20 percent and SAIC, owned by the Chinese state, was subject to a rate of 38.1 percent. Although these rates seemed small, they caused Chinese brands to lose their appeal in European markets.

In this regard, China has started to take countermeasures. According to a report by Bloomberg, Chinese Trade Minister Wang Wentao held a private meeting with German Trade Minister Robert Habeck last weekend. In this meeting, China’s decision to impose additional taxes on German automotive brands due to the decisions taken by the European Union was discussed. It is reported that German Trade Minister Robert Habeck favors the decision.

So what do you think about the additional tax decision taken by the Chinese Government? Don’t forget to share your opinions with us in the comments section. For more content, you can follow ShiftDelete.Net YouTube channel and social media accounts…