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German state politician calls for EU tariffs on Chinese hybrid cars, letter shows - Finance news and analysis from Global Banking & Finance Review
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German state politician calls for EU tariffs on Chinese hybrid cars, letter shows

Published by Global Banking & Finance Review

Posted on August 21, 2026

2 min read

· Last updated: August 21, 2026

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German State Politician Calls for Swift EU Tariffs on Chinese Hybrid Cars

Call for Immediate EU Action on Chinese Hybrid Car Imports

By Andreas Rinke

Lechner's Appeal for Tariffs

BERLIN, Aug 21 (Reuters) - Sebastian Lechner, the CDU state chairman of Lower Saxony, is calling for the European Union to quickly impose import tariffs on Chinese hybrid cars, a letter seen by Reuters on Friday showed. 

Import Pressure from Chinese Automakers

• "It is precisely these hybrids that are currently facing the greatest import pressure from Chinese automakers," Lechner told Reuters later on Friday.

OECD Study and Market Share Concerns

• Lechner pointed to an OECD study showing that approximately 60% of the market share held by Chinese products abroad is attributable to subsidies, something he called a "distortion of competition" in trade policy. "We expect the European Commission and the German federal government to adjust our trade policy toward China,” the politician said.

Impact on Lower Saxony and Volkswagen

• In Lower Saxony, the issue is an important one for the Wolfsburg-based Volkswagen Group.

Existing Duties and Urgency for Hybrid Tariffs

• Import duties are already in place for electric cars from China and Lechner said EU tariffs on hybrid cars from China must be imposed quickly.

(Reporting by Andreas Rinke, writing by Maria Martinez; Editing by Kirsten Donovan)

Key Takeaways

  • Lechner highlights unfair competition: Chinese hybrids benefit from subsidies—estimated at about 60% of their export advantage—distorting the EU market, per OECD analysis. (oecd.org)
  • While the EU already imposes countervailing duties up to 35% on Chinese battery electric vehicles (BEVs) since late 2024, plug-in and non‑plug‑in hybrids remain largely untaxed, creating a loophole. (eur-lex.europa.eu)
  • Recent reports suggest the European Commission is preparing measures to extend tariffs to Chinese hybrids, but as of mid‑August 2026, no formal regulation has been published. (electrive.com)

References

Frequently Asked Questions

Who is calling for EU tariffs on Chinese hybrid cars?
Sebastian Lechner, the CDU state chairman of Lower Saxony, is calling for the EU to impose import tariffs on Chinese hybrid cars.
Why does Sebastian Lechner want tariffs on Chinese hybrids?
He argues that Chinese hybrids are undercutting the market due to subsidies, creating a distortion of competition and placing pressure on European automakers.
What evidence is cited for the need for tariffs?
An OECD study is cited, showing that about 60% of Chinese product market share abroad comes from subsidies.
Are there already tariffs on Chinese vehicles in the EU?
Import duties are already in place for electric cars from China, but not hybrid cars.
Which company in Lower Saxony could be affected?
The Wolfsburg-based Volkswagen Group, located in Lower Saxony, could be impacted by these trade policy decisions.

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