Because of Brexit, new tariffs will be imposed upon all cars made in the UK where at least 45 per cent of their components do not originate in the UK or EU. This quota is as high as 60 per cent for some components, such as the battery. A 10 per cent tax will be applied to all vehicles being sold across the English Channel not conforming to these specifications.

The tariff is due to be enforced from January, but carmakers in the UK and EU want to delay its introduction by at least three years.

The European Automobile Manufacturers’ Association (ACEA), which represents BMW, Ford and VW, said the new taxes could cost EU vehicle makers €4.3bn over the next three years, potentially reducing electric vehicle production by some 480,000 units, the equivalent output of two average-size car factories.

“Driving up consumer prices of European electric vehicles, at the very time when we need to fight for market share in the face of fierce international competition...