Chinese EV imports flood UK market as tariff gap widens

Chinese automakers have captured 10% of UK vehicle sales in a decade by exploiting a regulatory arbitrage: the EU's 38% tariff on Chinese EVs doesn't apply to UK imports post-Brexit, while domestic manufacturing costs remain higher. Chinese competitors operate with vertically integrated supply chains, thinner margins, and state backing—pressuring legacy OEMs like Jaguar and traditional suppliers to adapt their investment and competitive strategies.