UK rejects higher Chinese car tariffs as imports reach 15% of market

September 18, 2026 at 05:06 PM2 min

This digest was compiled by AI from multiple sources — links to the originals are below.

Business Secretary Jonathan Reynolds said the UK has no plans to raise tariffs on Chinese car imports, which reached 223,000 registrations in the first eight months of 2026. Chinese brands now account for more than 15 percent of UK new car sales, up from four percent in 2023. Nissan's regional boss suggested Britain may need to align with European tariff rates to protect local manufacturing.

Key Facts

Chinese brands took 4 percent of the UK new car market in 2023, totalling 83,000 registrations.
Registrations of Chinese cars soared to 223,000 in the first eight months of 2026, more than 15 percent of total UK registrations.
Chinese cars face a flat 10 percent UK import charge, while EU top-up tariffs raise BYD's rate to 27 percent and SAIC's to 45.3 percent.
Nissan announced a £170 million investment in its Sunderland plant to build the new Kicks baby SUV.
Nissan is negotiating with Chery, China's biggest global auto exporter, about taking spare capacity at its UK plant.

UK Tariff Policy

Business Secretary Jonathan Reynolds told Auto Express the UK has no plans to raise tariffs on Chinese car imports. He argued that Britain's car industry is export-led and that trade protections would likely be reciprocated, harming exports. Reynolds cited Jaguar Land Rover's significant sales to China as a reason to keep export markets open. He also noted the consumer benefit of allowing low-cost access for innovative Chinese electric cars made to UK labour and regulatory standards.

Nissan's Position

Nissan regional boss Max Messina suggested Britain may have to align with European tariff rates to safeguard auto industry access under new 'Made in Europe' rules. Messina told the Financial Times that the UK cannot be a corridor for Chinese cars to flow into the European market. He said the whole UK has to adjust some of its tariff policy. Nissan is currently negotiating with Chery about using spare capacity at its Sunderland plant.