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Car Wars
This week, the Scholl Chair examines the rationale behind recent tariffs placed on Chinese electric vehicles by the United States and the European Union and ponders their effects on the global auto industry.

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The global auto industry is currently embroiled in a trade war, with the European Union and the United States taking action against Chinese auto companies. The European Union has imposed tariffs on Chinese electric vehicles (EVs) due to their rapid growth in the European market, while the United States has increased tariffs on Chinese EVs to 100 percent. Both actions aim to address the issue of Chinese overinvestment and overproduction, which has led to concerns about dumping products on the rest of the world. The situation also raises questions about national security and industrial policy, as the administration has cited the risk of connected vehicles transmitting data back to China. This trade war has significant implications for the global economy and the future of the auto industry.