China Could Cut Tariffs On U.S.-Made Vehicles

A proposal has been made to China’s cabinet to eliminate the 25 per cent surcharge the country slapped onto U.S.-made vehicles earlier this year.

The surcharge, implemented as part of the ongoing trade war between the United States and China, instigated by President Donald Trump, saw tariffs on U.S.-made vehicles jump to 40 per cent in China from 15 per cent. Bloomberg reports that the plan to eliminate the surcharge will be revised in the coming days.

President Trump suggested that he had won a concession during talks with China at the G20 summit in Argentina. Both Chinese and American trade officials say that there is indeed dialog between the two nations to reach a compromise.

While China may not want to concede to President Trump, it is experiencing the sixth straight month of declining car sales after decades of unprecedented growth. It is thought that trade tensions between the two countries have impacted Chinese car sales.

“Last week, events seemed to conspire to throw the truce into disarray, but the underlying incentives of both sides at the moment are to try to maintain that truce,” chief Asian economist at Pantheon Macroeconomics, Freya Beamish said.

“Now we are seeing the possibility that China will come through with reductions of tariffs on U.S. autos, and that’s another good, concrete step.”

On the back of this news, shares in a handful of automakers increased. For example, shares in BMW rose 1.8 per cent, Daimler’s share price increased by 2.7 per cent, Volkswagen rallied by 3.6 per cent, and General Motors jumped by 1.5 per cent.

more photos...
  • HOW SAD THAT THE CARS PICTURED AREN’T FROM AN AMERICAN COMPANY?

    • fuller

      because american car company build most theirs car in mexico

  • brn

    So it’ll come down to an absurdly high 15%? No thanks.

2020 Mercedes-AMG G63 Getting All-Terrain Package In The U.S.

The Mercedes-AMG G63’s all-terrain package will include off-road tires.

Cam-Am And Turo Partner For Extended Test Drives Of The Ryker And Spyder

Fans will be able to check out both trikes without any sales pressure thanks to a new partnership.

Red Tesla Semi Spotted In California, Check Out Its Tiny Frunk!

The fully electric Tesla Semi is expected to go into production towards the end of next year.

Get A Closer Look At The Renault Triber, A 4-Meter Long, 7-Seat Crossover For India

See what Renault’s selling in emerging markets in the 21st century.

BMW PHEV Models Will Automatically Transition To EV Mode Come 2020

In 2020, all plug-in hybrid BMW models will be able to know when they’ve entered an emissions-free zone.

Lego Recreates The Iconic 1974 Porsche 911 Turbo 3.0

The Lego Porsche 911 Turbo 3.0 costs just $14.99, much less than the real thing.

Ford Extends Mustang Bullitt Production Run To 2020MY

European customers will get another chance to purchase this special edition Ford Mustang.

Cheating Emissions Software Leads To Mercedes-Benz GLK Recall In Germany

The recall affects the 2012-2015 GLK 220 powered by the 170PS, 2.2-liter diesel four.

BMW’s Power BEV Trial Vehicle Is A 710 HP 5-Series Sedan

The Power BEV by BMW is able to accelerate from zero to 62 mph in under three seconds flat.

BMW Vision M Next Is A Glimpse Into The Ultimate Driving Machine’s Future

The BMW Vision M Next is a plug-in hybrid with a total system output of 592 HP.