Brazil's EV import tax reaches 35% Brazil
2026-07-01
End of the 2024–26 step-up; CKD/SKD zero-tariff quota of US$463 million through December. China Global South
Chinese EV tariffs by country as of 2026-10-27
The trade rules behind the sales numbers: what a Chinese-built EV pays to enter each market, how it changed, and what is coming. Rates are on the car itself; batteries, parts and local-content rules are noted where they matter.
| Market | Duty on a Chinese-built EV | Status | Where it stands |
|---|---|---|---|
| 🇺🇸 United States | 100%+ | Effectively closed | 100% Section 301 tariff on Chinese EVs (plus the 2.5% base duty and 2025 reciprocal tariffs); connected-vehicle rule bans Chinese software from model year 2027 and hardware from 2030. Effectively no Chinese-brand EVs on sale. |
| 🇪🇺 European Union | 17.8–45.3% total | Duties with exit route | Countervailing duties of 7.8% (Tesla), 17% (BYD), 18.8% (Geely), 20.7% (cooperating firms incl. NIO, XPeng) and 35.3% (SAIC and non-cooperating), on top of the 10% car duty, for five years from October 30, 2024. Since January 2026 a company can replace the duty with an accepted minimum-price undertaking, assessed model by model. |
| 🇨🇦 Canada | 6.1% in quota / 100% over | Quota deal | The 100% surtax (October 2024) is replaced for a quota: 49,000 Chinese EVs a year in 2026 at the 6.1% MFN rate, rising to 70,000 by 2030, in exchange for China cutting tariffs on Canadian canola and other farm goods. Above the quota the 100% rate still applies. |
| 🇲🇽 Mexico | 50% | High tariff | 50% tariff on cars imported from countries without a trade agreement (China, Korea, India and others) from January 1, 2026, up from 20%. Chinese brands were about a quarter of Mexican sales in 2025. |
| 🇧🇷 Brazil | 35% | High tariff | Import tax on EVs reached 35% on July 1, 2026, the end of a step-up that began at 10% in January 2024. A zero-tariff quota (US$463 million, July–December 2026) covers CKD/SKD kits for local assembly; kits reach 35% in January 2027. |
| 🇹🇷 Turkey | 40% extra | High tariff | Additional 40% duty (minimum $7,000 per car) on all China-built vehicles since July 2024, with exemptions for makers that invest in Turkish production (BYD's Manisa plant, Chery). Some 2026 reports cite 50%; not confirmed by an official notice. |
| 🇬🇧 United Kingdom | 10% standard | Open market | No extra tariff: Chinese EVs pay the standard 10% car duty. The Trade Remedies Authority did not open a case, and the government has said it is monitoring rather than acting. BYD, MG (SAIC), Omoda/Jaecoo, XPeng, Leapmotor and others sell freely; Chinese brands are above 10% of UK sales. |
| 🇮🇳 India | 70–100% | Effectively closed | Import duty of 70% (under $40,000) to 100% (above) on built-up cars. The 2024 EV policy cuts it to 15% for up to 8,000 cars a year for makers that commit $500 million to local production; Chinese firms face additional investment scrutiny (Press Note 3). |
| 🇦🇺 Australia | 0% | Open market | No tariff on EVs (the 5% duty was removed in July 2022) and a China–Australia free trade agreement. BYD is a top-five brand; Chinese brands are about a fifth of the market. |
| 🇹🇭 Thailand and Southeast Asia | 0% + local-build rules | Open market | Thailand: zero duty under the China–ASEAN agreement plus EV3.5 subsidies tied to local production from 2026 (BYD Rayong, GWM, MG, Changan, GAC plants). Indonesia and Malaysia offer similar build-here incentives; Vietnam protects VinFast. |
🇺🇸 United States 100%+
The 100% Section 301 rate took effect September 27, 2024 and has not been reversed. The Commerce Department's connected-vehicle rule took effect March 2026 and covers companies with significant Chinese ownership; Volvo (Geely-owned) received approval to keep selling cars with Chinese-developed software. Chinese batteries face a 25% Section 301 rate and lithium-ion tariffs rise further in 2026.
Sources: CNBC, June 2026: Chinese EVs may hit the US within a few years · USTR Section 301 four-year review.
🇪🇺 European Union 17.8–45.3% total
The Commission published guidance on price undertakings on January 12, 2026: a maker commits to a minimum import price, sales-channel and cross-compensation rules and EU investment, and the duty is lifted for that model. Reports name Volkswagen Anhui's Cupra Tavascan as the first accepted offer (February 2026); BYD, Geely and SAIC offers were under review as of September 2026. Chinese makers are also localizing: BYD Hungary (2026) and Turkey, Chery Spain, Leapmotor via Stellantis in Spain.
Sources: electrive, Jan 12, 2026: EU guidance on the minimum price mechanism · Europeans24, Sept 2026: EU–China EV trade status.
🇨🇦 Canada 6.1% in quota / 100% over
Agreed during Prime Minister Carney's January 2026 Beijing visit; the first quota period opened March 1, 2026 and a second import notice took effect September 1, 2026. BYD, Chery and others are preparing Canadian launches for 2026–27; the US has objected under USMCA.
Sources: Globe and Mail: Canada on track for increased low-tariff Chinese EV imports · Axios, Jan 16, 2026: Chinese EVs closing in on America after Canadian deal.
🇲🇽 Mexico 50%
Approved by Congress in December 2025 as part of a package covering 1,400 tariff lines, aimed at protecting Mexican plants and satisfying US USMCA demands. Chinese makers are responding with local assembly plans (BYD paused, Chery/Omoda, JAC, Geely studying).
Sources: Council on Foreign Relations: Mexico and Canada's Chinese EV imports.
🇧🇷 Brazil 35%
BYD's Camaçari plant (Bahia) and GWM's Iracemápolis plant assemble locally to get under the tariff. Brazil is BYD's largest market outside China.
Sources: China Global South: Brazil tariffs, the next battle for Chinese EVs · Import guide: Brazil 2026 tariff and CKD/SKD rules.
🇹🇷 Turkey 40% extra
Turkey sits inside the EU customs union for cars, so Turkish-built BYDs enter the EU duty-free; the Manisa plant (150,000 a year) is due to start in 2026.
Sources: Fastmarkets global EV tariff tracker.
🇬🇧 United Kingdom 10% standard
The Electric Car Grant (2025–) excludes most China-built cars through its manufacturing-emissions test, which is the UK's main lever. Reports in October 2026 describe the UK as considering, not enacting, additional measures.
Sources: Chiang Rai Times: Chinese EVs and global tariff responses.
🇮🇳 India 70–100%
BYD's expansion plans were blocked in 2023; MG (SAIC, via JSW) is the main Chinese-linked brand. VinFast, Tesla and others use the 15% scheme.
Sources: chinaevmarket.com: Chinese EV import regulations by country.
🇦🇺 Australia 0%
The New Vehicle Efficiency Standard (2025–) rewards low-emission imports, which favors Chinese EVs further.
Sources: Fastmarkets: Global EV tariffs charge up trade debate.
🇹🇭 Thailand and Southeast Asia 0% + local-build rules
Chinese brands hold roughly 70–80% of Thai EV sales. The region is the main export destination for China's record 558,000 NEV exports in September 2026.
Timeline
Connected-vehicle rule takes effect US
2026-03-17
Bans vehicles with Chinese- or Russian-controlled connectivity software from model year 2027; hardware from 2030. Volvo granted an authorization to continue. CNBC
First Canadian quota period opens Canada
2026-03-01
Second import notice took effect September 1, 2026. Globe and Mail
First price undertaking accepted (Cupra Tavascan, VW Anhui) EU
2026-02-10
Reported as the first model to exit the countervailing duty under the new mechanism. electric-vehicles.com
Canada–China deal: 49,000 EVs a year at 6.1% Canada
2026-01-16
Agreed in Beijing; quota rises to 70,000 by 2030; China cuts canola tariffs in return. Axios
Commission publishes guidance on minimum-price undertakings EU
2026-01-12
A model-by-model route to replace the duty with a price floor plus investment commitments. electrive
Mexico's Congress approves 50% tariff on cars from non-FTA countries Mexico
2025-12-10
Effective January 1, 2026; part of a package covering 1,400 tariff lines. CFR
EU countervailing duties take effect for five years EU
2024-10-30
7.8% Tesla, 17% BYD, 18.8% Geely, 20.7% cooperating, 35.3% SAIC and others, on top of 10%. European Commission
Canada imposes 100% surtax on Chinese EVs Canada
2024-10-01
Matching the US; 25% on Chinese steel and aluminum the same month. Wikipedia: Canada–China trade war
Turkey adds 40% (min $7,000) on China-built cars Turkey
2024-07-08
Exemptions later added for makers investing in Turkey. Fastmarkets
US raises Section 301 tariff on Chinese EVs to 100% US
2024-05-14
Announced May 14, 2024; in force September 27, 2024. Lithium-ion EV batteries to 25%. USTR