BMW has expressed concerns about the European Union reviewing government incentives for electric vehicles imported from China.
BMW's CFO Walter Mertl shared concerns that the EU's review would affect all Chinese automakers and could leave companies that do not have large sales in China especially vulnerable. To deal with this situation, BMW responded to EU demands and announced that they exported 15,000 to 20,000 vehicles last year.
EU Review and Electric Vehicle Manufacturers
The EU's review of electric vehicles imported from China will not only include Chinese manufacturers, but also zamIt is also targeting western automobile manufacturers currently producing in China. Tesla's exports from China also appear to be part of the investigation.
Chinese Imports and Threats
Possible EU tariffs on BMW's imports from China and a possible backlash on sales in China could leave the company vulnerable. This EU scrutiny increases the risks BMW may face.
The Future of Western Automobile Manufacturers
During this uncertain period, western automakers may review the profitability of their production facilities in China. How the EU's decision will affect the sector may shape its future steps.
An uncertain period begins for BMW and other automakers. The EU's China investigation is likely to impact the industry and force companies to review their strategies.