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The European Union has voted to move forward with its plan to impose tariffs on electric cars imported from China, despite recent moves by Germany to attempt to block the proposal.

Chinese EV production has soared lately, as the country’s efforts to secure mineral contracts and build up its local auto manufacturing base have borne fruit.

Along with that drastic rise in EV production has come a rapid rise in EV sales within the country – and a rise of exports as well.

As those exports have hit international shores, audiences from Australia to Europe have found Chinese EVs as quite a reasonable value proposition when compared to domestic manufacturers, and sales have risen overseas as they have domestically.

This has been troubling for domestic European manufacturers, who have found it tough to keep up with the low prices that Chinese manufacturers are able to sell their cars at.

The EU has accused China of “flooding” its market with these EVs, and of unfair subsidy practices towards its local auto industry. (The EU also subsidizes EVs)

As a result of this, Europe decided to impose tariffs on Chinese EVs, with a sliding scale based on which manufacturers it deems most out of compliance with its investigations. Those numbers have been modified as negotiations have gone on, but have currently landed between 7.8% and 35.3%. This is notably much lower than the US tariff, which was recently raised from 25% to 100% and went into effect just a week ago.

Europe votes to impose tariffs, with German opposition

Today, the European Commission took a final vote to impose the tariffs. 10 member states supported the plan, 12 abstained, and 5 voted against, with the most significant opposition coming from the EU’s most populous country and the one with its largest auto industry, Germany.

While the initial vote passed easily with little opposition and many abstentions, including from Germany, the country changed its position and decided to oppose the tariff at today’s vote.

Germany had hoped to rally more nations to vote against the tariffs, but it was always going to be a high bar, requiring 15 countries and 65% of the EU population to overturn the previous vote. As of this week, it became apparent that Germany was never going to get there.

At first glance it seems incongruous that the country with the largest auto industry in Europe might oppose tariffs that are intended to protect the European auto industry. But the reason for this is because German automakers sell a lot of high-end and profitable vehicles to China, and fears retaliatory tariffs of the sort that often come up when countries erect trade barriers.

China specifically has been quite effective at targeting its retaliatory tariffs in the past. In response to trump-era tariffs, China enacted a 25% tariff on US goods in 2018 which, among other things, devastated the US soybean industry. China has already started investigating several EU product categories like brandy, dairy and pork products, and related European industry groups feel “abandoned” by their governments in face of this threat.

Beyond the threat of tariffs, Chinese consumers have been increasingly looking inward as well, abandoning foreign brands partially due to nationalistic sentiment as they feel that other countries have treated them unfairly.

So Germany sees how a Chinese tariff on European autos might hasten its decline in the world’s (just-recently-2nd) most populous country, cutting it off from 1.4 billion potential consumers.

Its vote against may have been tactical, though – an attempt to have their cake and eat it too. Germany may want the protective effects of a European tariff, allowing them to continue to sell to domestic buyers without being undercut by Chinese brands, but also want China to think that they were trying to stop the tariffs, thus lessening Beijing’s desire to retaliate against poor little Germany which did everything in its power to stop these tariffs.

European tariffs are also significantly lower than those recently imposed by the US, and Europe has been actively talking to Beijing and has modified tariff pricing and may modify it more going forward. This may be another tactical decision – by showing that it is more willing to work with China than the US is, and by setting a more “reasonable” tariff, the EU can portray itself as less extreme and thus less worthy of retaliation.

Electrek’s Take

If you’d like to read 3,300 words on what I think about this whole tariff idea, head on over to my article “Tariffs on China aren’t the way to win the EV arms race – getting serious on EVs is.” I promise you it’s a pretty good one. While the article is about the US tariff, much of it applies to Europe as well.

The fact is, tariffs are popular, but usually don’t work very well. We have a lot of examples of this happening, and while “most economists agree” should not be a silver bullet rule for interpreting the world, in this case, I think they’re generally right.

At best, I think these tariffs will offer a temporary reprieve to local manufacturers – which we have already seen they are more than willing to use to delay their plans and put themselves back into the exact same position they’re already in: behind.

Meanwhile, what it immediately does is increase prices for EU consumers, and reduce EU manufacturers’ desire or need to compete on price. In a time where every country around the world has recently struggled with inflation, making one of the things that households spend the most money on more expensive doesn’t seem too wise.

This will also make people less willing to replace gas guzzlers with newer, cheaper-to-run electric vehicles, which means not only sustained high fuel costs for those families, but sustained high climate and health costs from the increased climate change that comes from using those old vehicles.

So I just don’t see this as the smart choice. Germany eventually came around to the right decision here – but it could have exercised leadership earlier, instead of playing tactical games and trying to appear as if it’s on both sides.


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Mercedes-Benz EVs to get Tesla Supercharger access in February

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Mercedes-Benz EVs to get Tesla Supercharger access in February

From February 2025, US Mercedes-Benz EV drivers will be able to charge their cars at over 20,000 Tesla Superchargers in the US and Canada.

Drivers based in Canada will gain access to the Tesla Supercharger network later in 2025.

Authorized Mercedes-Benz dealerships will provide a free software update for compatible vehicles to ensure smooth and easy Plug & Charge operation at Tesla Superchargers. Customers with vehicles in scope
will be contacted directly to schedule their software update.

The Mercedes me Charge service will integrate drivers into the Tesla Supercharger network, enabling easy Plug & Charge functionality when they charge at Superchargers. Mercedes me Charge also offers public charging at Mercedes-Benz High-Power Charging, IONNA, Electrify America, EVGo, ChargePoint, and more.

Mercedes me Charge gives drivers charger locations, real-time charger availability, status, and pricing for all in-network charging points through both the Mercedes-Benz app and the MBUX infotainment system. Charging can also be initiated via the Mercedes-Benz app or the MBUX infotainment system.

Tesla Superchargers will be integrated into Mercedes-Benz’s “Navigation with Electric Intelligence”. This feature automatically navigates drivers to the most efficient, time-saving route, including transparent charging stops and charging times.

“The fast-growing network of charging points available in Mercedes me Charge will now expand to over 110,000 public charging points across the United States and Canada, providing Mercedes-Benz drivers with an industry-leading charging experience whenever and wherever they choose to charge,” said Franz Reiner, chairman of the board of management at Mercedes-Benz Mobility AG.

Mercedes says a North American Charging Standard NACS to CCS1 adapter for current CCS1-compatible EVs will be available at authorized Mercedes-Benz dealerships for purchase in the US for $185 in Q1 2025. Customers will be notified when adapters are available to purchase. They’ll be available from Canadian dealerships in Q2 2025, with pricing to be confirmed closer to market introduction.

The German automaker says it will introduce NACS ports in its EV lineup beginning in 2025.

Read more: The latest US EV sales and charger growth – in numbers


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Model Y Juniper refresh spied uncamouflaged for first time in winter testing

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Model Y Juniper refresh spied uncamouflaged for first time in winter testing

Tesla’s Model Y “Juniper” refresh has been spotted for the first time undergoing winter testing in China, in anticipation of an imminent reveal.

The refreshed Model Y has been expected for some time, and is expected to include many of the improvements of the 2023 Model 3 refresh. The headline features of that vehicle are a new front-end, more efficiency, and a quieter cabin. But there were a lot of other interior improvements as well (and one big de-provement, the deletion of steering column stalks).

And we know that it’s coming soon, because there have been plenty of sightings and leaks lately, though all have been camouflaged to hide front and rear end design changes.

In October, Chinese social media said the refresh was about to enter trial production, and just days later we saw a photo of the refreshed Model Y outside the Shanghai factory. Then last month, we heard that mass production would start in Shanghai in January, so we can expect that very soon as well.

And while Tesla said in 2024 that there’s no Model Y refresh coming “this year”, 2024 is over now, and there have been plenty of recent indications that the refresh is imminent.

Well, now that time has apparently come, and photos were posted today of the vehicle undergoing uncamouflaged winter testing in Northeast China.

As expected, the refresh gets rid of the “duck lips” of the previous Model Y, just as Tesla did with the Model 3 refresh, and as camouflaged photos have suggested. The rear end also matches previous leaks we’ve seen, with a sleeker rear end and use of the “TESLA” text badging rather than the Tesla logo (which is also not present on the rear of the Model 3 refresh).

The front end is a more dramatic redesign than the Model 3, though, which gained a lower nose but still retained traditional headlights. The Model Y goes further with a Cybertruck-like light bar across the whole front end, rather than the distinct headlights of the Model 3.

Social media rumors also suggested that an official unveil is imminent, so we may find out more within days. Stay tuned.

What do you think of the look of the Model Y Juniper?


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Tesla board members officially settle excessive compensation case for nearly $1 billion

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Tesla board members officially settle excessive compensation case for nearly  billion

A judge has officially approved a settlement in a case brought by Tesla shareholders against board members who will now have to return stock, cash, and give up on stock options worth a total of nearly $1 billion.

Let me start this article with a quote from Tesla CEO Elon Musk:

Tesla will never settle a case where we’re in the right, and never contest a case where we’re in the wrong.

Today, Chancellor Kathaleen McCormick approved a settlement agreement between Tesla and all its board members from 2017 to 2020 and the Police and Fire Retirement System of the City of Detroit on behalf of Tesla shareholders over what the shareholders believed to be excessive compensation.

The agreement was first reported in July 2023, but it is only now being officially approved and we learn a few more details.

Shareholders believed that members of Tesla’s board were compensating themselves excessively with hundreds of millions of dollars between 2017 and 2020 when the average compensation of a board member of a S&P500 company is just north of $300,000.

Under the settlement, the board members agree to return to Tesla $277 million in cash, $459 million in stock options and to forgo $184 million worth of stock options awarded for 2021-2023.

That adds up to nearly $1 billion.

The board members include Kimbal Musk, Elon’s brother, Brad Buss, Ira Ehrenpreis, Antonio Gracias, Stephen Jurvetson, all close friends of Elon Musk and people who have financial dealings with Musk outside of Tesla, Linda Johnson Rice, Kathleen Wilson-Thompson, Hiromichi Mizuno and Larry Ellison, the co-founder of Oracle Corp and also a close friend of Musk.

As part of the settlement, Tesla or the board does not admit to any wrongdoing.

Musk didn’t take compensation as part of the board, but he is embroiled in a similar case over his own $55 billion CEO compensation package, which was rescinded by the same judge after she found that it wasn’t negotiated or presented to shareholders in good faith.

The board members who received this “excessive compensation” also happened to be the one who “negotiated” Musk’s CEO compensation package.

The case is heading to the Delaware Supreme Court, as reported earlier today.

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