Shares of GWM Motors (02333) soared 5.1% on Friday, outperforming the broader market, as investors cheered the resilience of Chinese electric vehicle (EV) makers in the face of the European Union's (EU) decision to impose tariffs on China-made EVs.
The EU's plans to levy duties on Chinese EVs initially raised concerns about potential price hikes, which could impact the competitiveness of these vehicles in European markets. However, major Chinese EV companies swiftly allayed these fears by announcing that they would maintain their current pricing strategies in Europe until the end of the year, regardless of the tariff decision.
Notable players like MG Motor, the French unit of SAIC, and BYD, a leading EV giant, stated that they would not increase the prices of their EVs in France and Italy, respectively, until the end of 2024. This proactive stance has bolstered investor confidence in the ability of Chinese EV makers to navigate the tariff challenges and sustain their market positions in Europe.
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