Nio said it will maintain pricing for its on-sale products in the European market at this stage. Xpeng said it is actively assessing the feasibility of establishing local manufacturing capabilities in Europe.

Nio (NYSE: NIO) and Xpeng (NYSE: XPEV) shared their respective responses after the European Union announced that it will impose additional tariffs on imports of battery electric vehicles (BEVs) from China starting July 5.

Nio is closely monitoring and following up on the developments and measures related to the EU's countervailing investigation, a spokesperson told CnEVPost.

At this stage, Nio will maintain pricing for its products in the European market and will evaluate its marketing strategy in light of the progress of the tariff policy, the company said.

In Europe, Nio will continue to serve its users well and believes that proper market competition is beneficial to users, the company said, adding that it hopes to reach a solution with the EU before the final measures are implemented in November 2024, it said.

Xpeng, for its part, said that regardless of the fluctuations in tariffs, the company remains committed to enhancing the attractiveness of its products and services through innovation and optimization.

"We are committed to proactively maintaining market competitiveness while minimising any potential impact on our current and future customers," Xpeng told CnEVPost.

Xpeng said all current consumers awaiting delivery and future customers placing orders before the new tariffs take effect will be protected from any price increases due to the announced tariff adjustments. This protection applies irrespective of whether deliveries are completed before or after the tariffs come into effect.

"As a global company, we are committed to providing high-quality innovative products to the ever-growing European customer base and making long-term commitments to these markets," Xpeng said.

Xpeng is currently actively evaluating the feasibility of establishing local manufacturing capabilities in Europe and taking appropriate steps to meet market demand, the company said.

Earlier today, the European Commission announced that it will impose provisional countervailing duties on imports of EVs from China from July 5, emphasizing that negotiations with China are continuing.

Different carmakers face different rates, specifically, the separate tariffs applicable to the three Chinese producers are:

BYD: 17.4 percent;

Geely: 19.9 percent;

SAIC: 37.6 percent.

Nio and Xpeng, both of which are among the BEV producers that cooperated in the investigation but were not sampled, are subject to a weighted average tariff of 20.8 percent.

These levies are in addition to the current 10 percent.

EU to impose additional tariffs on China EVs from Jul 5, rates reduced slightly from previously announced