John Paul Phelan (Carlow-Kilkenny, Fine Gael)
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267. To ask the Minister for Enterprise, Trade and Employment the rationale for Ireland’s vote in support of EU tariffs on Chinese EV imports, noting the tariffs may results in increased prices for certain popular and affordable models of EVs as well as the reduction in the number EV lines imported into Ireland from China, with the potential to disincentivise the transition to EVs. [41420/24]

Peter Burke (Longford-Westmeath, Fine Gael)
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As the Deputy may know, votes on trade defence issues at the EU are confidential. The vote followed a thorough investigation by the Commission, in which it had concluded that the battery electric vehicle (BEV) value chain in China benefits from unfair subsidisation. At the vote of the Trade Defence Instruments Committee on 4 October, the European Commission’s proposal to impose definitive countervailing duties on imports of BEVs from China obtained the necessary support from EU Member States for the adoption of tariffs.

The Government recognises the potential benefits of Chinese BEVs for consumers and businesses in Ireland and the EU, including in supporting progress towards our important climate targets, and we sincerely welcome that consultations are continuing between the EU and China to explore alternative, WTO-compatible solutions to find a mutually agreed solution to this case.

In terms of the impact of the countervailing duties on the Irish BEV market, it is unclear at this stage. The Government is continuing to monitor the impact of this development on the BEV market in Ireland.

The Government has committed significant funding to support zero and low emitting vehicles through the National Development Plan, which currently includes an allocation of almost €500 million for the period 2021-2025 and additional support from the Climate Action Fund, the Shared Island Fund, and the EU Just Transition Fund.

Almost €116m has been allocated in 2024 to ensure the continued transition to electric vehicles which includes funding for BEV grants and BEV charging infrastructure. This underpins the Government’s commitment to making electric vehicles accessible to all.

There are a number of existing financial supports, including Government grants and tax relief measures, available for consumers to continue to support the transition to electric vehicles. These and related infrastructure supports will continue to incentivise the switch to electric vehicles as well as enable the expansion of a fast and rapid electric vehicle charging network to stay ahead of demand.