Market Chatter: EU, UK Said to Weigh Delay of 10% Tariffs on Electric Vehicles Amid China, Supply Chain Concerns

03:01 AM EST, 11/12/2026 (MT Newswires) -- The European Union and the UK are reportedly exploring plans to postpone the Jan. 1, 2027 enforcement of a 10% tariff on electric vehicles amid ongoing competition from China and battery supply chain concerns, London's Financial Times reported Thursday. Citing several sources familiar with the matter, the report said the European Commission is consulting industry on proposals, which could still be revised, to try to keep demand for EU-made batteries. These proposals include a one-year delay extension or a two-year scheme allowing manufacturers to offset non-compliant exports against domestically compliant batteries. The two parties implemented a so-called "rules of origin" deal in 2021, which sought to develop a domestic European battery supply chain by gradually increasing local content requirements for tariff-free vehicle trade. FT noted that slower-than-expected European chemical and battery production resulted in continued reliance on battery packs and materials sourced from Asia. The European Commission did not immediately respond to a request for comment from MT Newswires. (Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)