The UK is positioning itself as a conduit for Chinese electric vehicles into the EU market, despite Brexit. Seeking inclusion in the EU’s 'made in Europe' procurement and subsidy framework, the UK faces pressure from Brussels to impose tariffs on Chinese EVs or join the EU customs union. France remains sceptical, recalling its 1986 objection to Nissan’s Sunderland investment, which it likened to a 'Japanese aircraft carrier' targeting the EU.

Now, Chery is exploring Nissan-built vehicles in Sunderland for EU sale, raising concerns about subsidised Chinese-made UK vehicles flooding the EU. While the EU has anti-dumping and anti-subsidy tools, and the Foreign Subsidies Regulation (FSR), enforcement is difficult and rarely used. The situation risks creating internal competition between Chinese investments in the UK and EU, undermining EU trade defences.