Turkey hikes tariffs on Chinese EVs by 40% to curb imports
Turkey will raise the tariff on all-electric vehicles purchased from China by 40%, reports Bloomberg. This is how Erdogan's country aims to limit imports and reduce the current account deficit, which is expected to help combat high inflation. In May, inflation was 75.5% higher compared to the previous year.
As Bloomberg reports, Turkey will raise the tariff on all-electric vehicles purchased from China by 40%. By raising tariffs, it aims to limit the import of Chinese electric vehicles and reduce the current account deficit.
According to the decree published in the Turkish Official Gazette, the imposed tariff will be at least £5,390. The decision will take effect 30 days after publication.
It should be noted that Turkey also raised tariffs on Chinese electric vehicles last year. At that time, the goal was to support the production of the country's first electric car.
The Turkish national electric car is called TOGG. It is an acronym for Türkiye’nin Otomobili Girişim Grubu A.S, which means the Turkish Automotive Initiative Group. The consortium was founded in 2018. The first unit rolled off the production line in April last year and went to President Recep Tayyip Erdogan.
This time, the increase in the tariff on Chinese electric vehicles is intended to address the problem of high inflation, which at the end of May reached around 75.5%. Turkish policymakers are continuing to tighten monetary policy, while simultaneously strengthening their fiscal position and reducing the current account deficit.
