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EU Tariff Shifts Accelerate Demand for Agile NEV Export Partners: Chenghua International’s Light-Asset Model Gains Strategic Edge
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EU Tariff Shifts Accelerate Demand for Agile NEV Export Partners: Chenghua International’s Light-Asset Model Gains Strategic Edge

2025-06-26

Factory-Backed Warranty & Pre-Certified Vehicles Become Key to European Market Access

LYINYI, CHINA – July 10, 2024 – As the EU’s provisional countervailing duties of up to 38.1% on Chinese EVs took effect in June 2024, Linyi Chenghua International Trading Co. reports a 27% surge in Q2 export orders – defying market headwinds through its unique asset-light operational model and compliance-first strategy.

Policy-Driven Market Restructuring

Policy Change

Impact on Exporters

Chenghua’s Solution

EU Tariffs (Up to 38.1%)

15-20% cost increase for uncertified models

Pre-selected WVTA-certified vehicles (e.g. Leichi Ren TC101)

EU Battery Passport Rules

$120+/unit compliance cost

Carbon data integration at factory level

Local Service Mandates

40% buyers cite after-sales as deal-breaker

3yr/60,000km factory warranty + 72h parts delivery

Source: ACEA, BloombergNEF (2024 Q2 Data)

Breaking Barriers: Three Pillars of Chenghua’s Model

1. COMPLIANCE ENGINEERING

- Exclusive focus on pre-certified EU-WVTA models

- TC101’s ≤18kWh/100km efficiency (Class A rating)

- Avoids 6-9 month certification delays

2. SERVICE LOCALIZATION

▶ Factory-direct warranty (3yr/60,000km)

▶ Yuantong Group’s European parts hubs:

Frankfurt (Germany)

Rotterdam (Netherlands)

Istanbul (Turkey)

▶ 83% client retention rate in H1 2024

3. LIGHT-ASSET AGILITY

- 0 manufacturing CAPEX

- 12-brand portfolio via Yuantong partnerships

- 15-day order-to-shipment turnaround

Commercial Vehicle Breakthrough

Amid logistics electrification boom:

✅ Swiss Post certification for TC101 fleets

✅ Romanian last-mile delivery contract (200+ units)

✅ New refrigeration model R&D completion (Q4 launch)

“Tariffs accelerated demand for specialists,” notes Chenghua’s EU Director. “Our model delivers 30% TCO reduction versus traditional exporters.”

Visual Assets for Media

Manufacturer Category

Duty Rate

Representative Companies

Chenghua's Strategy

Cooperating Investigated Companies

17.4%

BYD, Geely, SAIC

▶ Priority sourcing
(Supply chain stabilization)

Non-cooperating Eligible Applicants

21%

NIO, XPeng

▶ Facilitate partner compliance

(Reduce rate within 6 months)

Other Producers

38.1%

Emerging brands

▶ Strict supplier screening
(Exclusion from EU exports)

Battery Surcharge

+8-12%

CATL/BYD battery units

▶ Zero-surcharge models only
(e.g. Leichi Ren TC101)

Note: Provisional duties apply for 4 months pending final ruling in November 2024

*Source: European Commission Regulation No. 2024/1689 (12 June 2024)*

Chenghua International’s Light-Asset Model Gains Strategic Edge .jpg

Forward Strategy

With e-LCV demand projected to grow 300% by 2026 (BNEF):

- New partnerships with 3 European importer networks

- Specialized vehicle platform launch (Q1 2025)

- Local assembly talks in Turkey to bypass tariffs

Media Contact:

Xue Chen | International Marketing Director

E: javierpradoinn@hotmail.com

T: 0086 13668835089

About Chenghua International:

Established in 2024 in Linyi – China’s logistics capital – we bridge quality Chinese NEV manufacturers (Leichi, etc.) and global markets through integrated supply chain solutions. Backed by Yuantong Group’s multi-brand network and 500M RMB capital, we enable frictionless cross-border electrification.