Rules of Origin for electric vehicles

What are Rules of Origin and how could they impact the electric vehicle market in 2024?

The UK-EU Trade Cooperation Agreement (TCA) came into effect from 01 May 2021. It set out the post-Brexit terms of the UK’s trading relationship with the EU. 

A temporary exemption to tariffs imposed on products that aren’t ‘substantially made in Britain or the EU’. Is due to end on 31 December 2023, unless a new deal is struck. The terms align with ‘rules of origin’ requirements, from which import and export duties are determined. Vehicles that meet the rules of origin requirements currently qualify for the EU’s zero tariff, zero quota regime.

Without a new deal being struck, vehicles made in the EU and with a battery as the primary source of power (including Battery Electric Vehicles, hybrids and plug-in hybrids) may be susceptible to import tariffs when the temporary exemption lifts on 1 January 2024. 

The BVRLA has collated all information into a guidance document for members, including a comprehensive Q&A resource to answer the most commonly raised questions.

Read the Rules of Origin for electric vehicles guidance.