Tensions Rise Over Chinese EVs at Paris Motor Show

At the Paris Motor Show, auto manufacturers are showcasing affordable, tech-rich electric vehicles (EVs) to attract a diverse range of consumers amid a brewing trade war between the EU and China. Chinese manufacturers, including Leapmotor and XPeng, are introducing models such as the B10 SUV and P7+ sedan, targeting younger and budget-conscious drivers, while facing potential EU import tariffs of up to 45% due to claims of unfair subsidies from China. French President Emmanuel Macron supports the tariffs, emphasizing protective measures for struggling European markets. However, Chinese brands have warned that such tariffs could lead to higher prices and deter consumers, potentially harming the lower-income demographic. The competition remains fierce as European automakers strive to defend their market share against the growing presence of Chinese EVs. The outcome of the trade dispute may significantly impact both European and U.S. electric vehicle markets.