Thekiwi
Active Member
The Uk currently charges the EU’s Common External Tariff of 10% on all third country auto imports. Which includes the Tesla Model 3.
If the UK signs a trade deal with the US this will drop to zero. If the UK doesn’t sign a trade deal with the US, there’s still a persuasive argument for dropping the tariff on ZEVs to zero, which would include US made Tesla Model 3s.
I can’t see what circumstance you are imagining that would see the Uk tariff for Model 3s increase because of Brexit, your comment is not informative but actually deeply misleading.
When you will see a big increase in UK registrations of Model 3s is from April 2020 onwards, when Teslas will become zero rate taxable under the company car scheme. This is a very major tax incentive and is massive for Tesla when you consider that in 2018, 57% of all new car registrations in the Uk were made by companies rather than individuals.
Further, the overwhelming majority attained by Boris Johnson has immediately led to a surge in confidence in the UK economy, witness the spike in the pound and FTSE all-share index. The Brexit bounce will be in full swing by April 2020.
The conditions are ripe for the UK to become Tesla’s largest European market in 2020/21 if they execute properly (service, superchargers, marketing).
I take objection to you calling my post “deeply misleading”. I said there might be a potential rush for Teslas, based on the fact a brexit could well mean car import tariff increases (as the UK negotiates trade deals from the countries it imports cars from).
The UK government has designated the UK car industry as one of the few “protected” local industries in any post-brexit trade agreements, which for example meant that in various proposed deals this year in Europe-UK trade talks, the UK has included an increased tariff to 10% on cars imported from the EU.
I find this statement you made, which I have bolded below, which you are stating as fact, is in fact merely an opinion of yours;
”The Uk currently charges the EU’s Common External Tariff of 10% on all third country auto imports. Which includes the Tesla Model 3. If the UK signs a trade deal with the US this will drop to zero“
As far as I’m aware no US-UK trade deal has been signed and announced with the details released, and no guarantees have been made that it will be zero tariffs on cars. So I would look at your own posts first before calling out someone else’s posts as misleading.
Now zero tariffs could indeed happen, which would be great for tesla, even if only for EVs, but we should be weary of thinking its an expected automatic outcome when the UK has stated the UK car manufacturing industry in particular as one of the areas it wants to protect after brexit.
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