Tesla is contesting European Union (EU) tariffs on EVs produced in China.

The company, along with BMW and several Chinese manufacturers, filed a legal challenge at the Court of Justice of the European Union (CJEU) on Jan. 22, the deadline for filing challenges.

The EU imposed these tariffs in October 2024 after an anti-subsidy investigation. Tesla’s tariff rate is set at 7.8%, which is lower than the rates for some competitors.

The legal proceedings are expected to take around 18 months, with provisions for appeal.

Chinese EV manufacturers, including BYD, Geely, and SAIC, are also challenging the tariffs. The China Chamber of Commerce for Import and Export of Machinery and Electronic Products (CCCME) is also involved in these efforts.

Details regarding the cases have not been made public.