Volkswagen mulls shifting Cupra Tavascan production to Europe

Investing.com -- German automaker Volkswagen is considering moving production of the next model of its Cupra Tavascan SUV coupe from China to Europe, according to a report published by Handelsblatt on Wednesday.

The newspaper, citing company sources and internal production plans, revealed that Volkswagen is exploring European manufacturing options for the fully electric vehicle.

The Tavascan, currently manufactured in China, had been subject to an additional 20.7% tariff on top of an existing 10% duty after the European Union imposed new tariffs on Chinese-made electric vehicles in 2024.

This week, the European Commission granted the model an exemption from these import tariffs, implementing a minimum price and quota model instead. This decision came after months of negotiations.

When asked about production plans, a spokesperson for Volkswagen's SEAT/Cupra business stated that the current Tavascan production line in China benefits from synergies and global partnerships.

"As for future plans, we cannot comment on our global plant utilisation strategy," the spokesperson added.

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