‘Retaliatory Tariffs Could Harm EV Sector’ News24 –

Billionaire Elon Musk’s company Tesla has warned the Trump administration that retaliatory tariffs could target US Electric Carmaker companies and would increase the cost of vehicles. 

Tesla wrote an unsigned letter addressing to US Trade Representative, Jamieson Greer, that the company backs “fair trade” but warned that US exporters could be impacted by retaliatory tariffs by other nations amid trade war. 

“For example, past trade actions by the United States have resulted in immediate reactions by the targeted countries, including increased tariffs on electric vehicles imported into those countries,” the EV company wrote. 

Meanwhile, Business leaders and economists have warned that China’s exports are likely to suffer significantly due to the intensifying tariff conflict with the United States, as reported by Radio Free Asia (RFA).

Since President Donald Trump assumed office, the United States has applied a 20 per cent tariff on Chinese products, including a 10 per cent tariff last month and an additional 10 per cent set to take effect on March 4. The growing restrictions have worsened conditions for Chinese exporters, who are already facing rising competition from other countries.

According to the head of an electronics trading company in Shenzhen, “Export volume has shrunk, and business has been snatched away by competitors from other countries.”

China’s exports increased by 2.3 per cent year-on-year in January and February, falling short of the anticipated 5 per cent growth rate, according to the latest official data. This marks a decline from the 5.4 per cent growth seen throughout the previous year, RFA reported.