【4.8 Lithium Battery News】Institutional Analysis Shows Limited Impact of US Tariffs on Chinese Automakers | Countries Continue to Counter US Tariffs

【Exports to the US Account for Less Than 2%, Limited Impact of US Tariffs on Chinese Automakers】Recently, the US government confirmed that it will impose a 25% tariff on all cars and trucks produced entirely or partially outside the US, effective from April 3. Additionally, import tariffs on auto parts produced outside the US will begin on May 3 this year. However, the current US tariff hike on automobiles has limited impact on China's auto exports. Public data shows that in 2024, China exported only 116,000 cars to the US, accounting for 1.81% of China's total auto exports. Huatai Securities analysis indicates that the 25% auto tariff has a relatively small negative impact on direct exports from China, primarily affecting the expected revenue and profits of leading automakers in Japan, South Korea, and Germany. Chinese automakers may gain more incremental growth in regions such as the EU and Southeast Asia. Cui Dongshu, Secretary General of the China Passenger Car Association, believes that China's auto exports to the US are minimal, especially since domestic brands are not sold in the US at all, thus Chinese domestic automobiles are not affected by the US tariff hike.

【Fitch: Chemical, Automotive, and Technology (Hardware) Sectors Likely Most Affected by US Tariffs in Europe】Fitch: US tariffs will reduce revenue and profit growth in the European corporate sector. The chemical, automotive, and technology (hardware) sectors are likely the most affected European industries by US tariffs.

【Canada Requests WTO Dispute Consultations on US Auto Tariffs】The WTO stated on the 7th that Canada has requested WTO dispute consultations with the US over the 25% tariffs imposed on cars and auto parts from Canada. The request was distributed to WTO members on April 7. Canada stated that these US tariff measures are inconsistent with the US obligations under the provisions of the General Agreement on Tariffs and Trade 1994. Dispute consultations are part of the WTO dispute settlement process. Consultations provide parties with the opportunity to discuss issues and find satisfactory solutions without further litigation. If the dispute is not resolved within 60 days of the initiation of consultations, the complaining party may request a panel ruling.

【Trump Continues to Pressure Japan: Japan Needs to Open Its Market】US President Trump met with visiting Israeli Prime Minister Netanyahu at the White House on April 7 and spoke to the press. When discussing trade relations with Japan, President Trump once again pressured Japan, stating to the media that Japan needs to open its market. Earlier on the 7th, President Trump had issued a statement on his personal social media platform, announcing his discussion with the Japanese Prime Minister on tariffs and insisting that Japan has taken advantage of the US in auto trade.

【In Response to US Tariff Measures, UK Prime Minister Announces Relaxation of Hybrid Vehicle Transition Rules】UK Prime Minister Starmer delivered a speech on the 7th, announcing a series of new policies to support the domestic auto manufacturing industry. These include postponing the ban on hybrid vehicles from 2030 to 2035, providing more flexibility for UK EV manufacturers' emission targets, reducing non-compliance penalties by 20%, and reinvesting penalty revenues into domestic industries. Starmer emphasized that industrial revitalization and national security are core missions of the UK government. This decision is widely regarded as a response measure taken by the UK to protect its auto industry following the Trump administration's imposition of a 25% tariff on imported cars.

【CosMX Battery: Limited Direct Impact of US Tariffs on the Company】CosMX Battery stated on the interactive platform that the company's consumer business revenue accounted for 88.94% of its total revenue in 2024, and the direct export of consumer batteries (mainly for mobile phones, laptops, and tablets) from China to the US is extremely rare, thus the direct impact of this tariff on the company is limited. Additionally, if the end products equipped with the company's batteries are included in the tariff scope, it may increase cost pressure. In this regard, the company will actively communicate and negotiate with end customers. Furthermore, the company has already planned to build an overseas production site in Malaysia, continuously improving its global layout, which will further reduce the impact of this tariff.