Group 1 - Chinese electric vehicle (EV) companies are becoming strong competitors to Western automakers, gaining market share not only in China but also in Western markets [1] - Elon Musk, during Tesla's Q4 2023 earnings call, acknowledged the competitiveness of Chinese car companies and suggested they could dominate globally if trade barriers are not imposed [2] - The U.S. has implemented significant tariffs on EV imports from China, quadrupling them to 100% in 2024, with Canada following suit and the EU also introducing countervailing duties ranging from 7.8% to 35.3% [5] Group 2 - Several countries have imposed tariffs to protect their markets from Chinese EV imports, with some tariffs being more severe than others, effectively limiting imports [4] - The EU is considering a shift from tariffs to a "price floor" approach, which would allow Chinese EV companies to avoid tariffs by selling above a certain price threshold [6] - China's government has welcomed the EU's potential shift in trade policy, viewing it as beneficial for China-EU economic relations and the international trade order [7]