EU tariffs on Chinese EVs could backfire, German car bosses warn

Top executives at BMW and Volkswagen on Wednesday warned against imposing EU import duties on electric vehicles from Chinese automakers, saying it could upend the bloc's Green Deal plan and harm automakers that import cars made in China.

The European Commission, which oversees trade policy in the 27-nation European Union, launched an investigation in October into whether fully-electric cars manufactured in China were receiving distortive subsidies and warranted extra tariffs.

"You could very quickly shoot yourself in the foot," BMW CEO Oliver Zipse told reporters after the German premium automaker reported quarterly results.

BMW imports Chinese-made Mini EVs and the iX3 into Europe. Like its German rivals Volkswagen and Mercedes-Benz, BMW is heavily reliant on revenues from its Chinese business.

China is BMW's second-largest market after Europe, accounting for nearly 32% of sales in the first quarter. "We don't think that our industry needs protection," Zipse told analysts on Wednesday.