The EU has introduced tariffs ranging from 7.8% to 35.3% on Chinese-made EVs, adding to an existing 10% tariff. China, in turn, has applied a levy on brandy imports from the EU, and may increase tariffs on cars imported from the EU. Always with tariffs, there is the intended goal – protecting domestic manufacturing – and then there are the undesirable side-effects. The three main side-effects are weaker demand caused by higher prices for end-product, disruption to domestic manufacturing if upstream components are placed under tariffs (or building domestic downstream production on the back of foreign components if not), and the possibility of retaliation from the other side. The US has chosen to take a hard line on tariffs, backed…