At the EU meeting, Poland had no hesitation in supporting the imposition of new taxes on electric vehicles from the eastern country.

Poland shut down its cooperative electric vehicle production line with Central Europe at the end of March, resulting in the loss of 1,800 jobs. This decision reflects the division within the EU - Germany and Hungary opposed the tax increase, while France and Italy supported it, and Spain remained neutral. Poland originally intended to impose the tax to protect its domestic automakers, but the global fourth-largest automotive group, Stellantis, directly withdrew its investment, relocating the production line to Zaragoza, Spain.

Stellantis had just conducted trial production of Chinese electric vehicle T03 in Poland last year and planned to mass-produce it this year. However, after Poland cast its affirmative vote, the company halted production at the end of March, taking away the accompanying battery factory and component suppliers. Now, the CATL battery factory in Spain is under construction and will start producing new models next year, while the Polish plant is left with empty production lines.

Internal EU data reveals a key contradiction: countries that support the tax increase import less than 25% of their auto parts from China, whereas those opposing it exceed 40%. German automakers Volkswagen and Mercedes-Benz publicly oppose the tariff, while French automakers believe they can benefit. As a result, Polish consumers now have to pay more for electric vehicles, as the tax has driven up prices, yet the core batteries still need to be imported from China.

The new battery plant in Spain invested by Stellantis amounts to 5 billion euros, with an annual output of 50 GWh, sufficient to supply 800,000 electric vehicles. Poland originally had the opportunity to secure this project, but now even Chinese automakers are shifting to Hungary for factory construction. Four years ago, Poles were celebrating the introduction of Chinese technology, but now workers watch equipment being dismantled, and local media openly admits this is like "carrying coals to Newcastle."

In less than a month since the implementation of the EU's tax policy, some automakers have begun adjusting their strategies. BYD is building a factory in Hungary, Chery is acquiring a Spanish factory, and Zero Motorcycles is circumventing tariffs through joint ventures. The Polish government is now urgently seeking remedial measures, but Stellantis has clearly stated that new projects will prioritize countries that abstain or oppose the tax increase.

Original source: https://www.toutiao.com/article/1829372741594435/

Disclaimer: This article solely represents the author's personal views.