Tesla’s Shanghai factory has received EU inspectors, which could lead to lower tariffs, according to a report.

Such an inspection could result in Tesla receiving lower tariffs than the average 21 percent, Politico said, since only individually verified producers receive their own tariffs.

European Union inspectors visited Tesla Inc.’s (NASDAQ: TSLA) Shanghai factory last week, bringing it one step closer to getting lower individual tariffs on its China-made cars shipped to the EU, Politico He said in a report dated July 3:

The European Commission plans to visit Tesla from June 26 to 28, the report said, according to a note from the EU’s trade arm dated June 18.

The three-day visit was significantly shorter than other inspection visits to exporters, which lasted several weeks earlier this year.

Tesla is the largest exporter of electric cars from China to the European Union, but the European Commission initially did not select it to visit China as part of its subsidy investigation. So the company applied for individual treatment, and that request was granted, according to Politico.

Such an inspection could result in Tesla receiving lower tariffs than the average of 21 percent, as only individually verified producers can get their own tariffs, the report said.

On June 12, the European Commission previously disclosed the level of temporary countervailing duties that will be imposed on imports of battery electric vehicles from China.

Among the previously announced tariff rates were 17.4 percent for BYD, 20 percent for Geely, and 38.1 percent for SAIC.

The other 21 percent were electric vehicle manufacturers who cooperated with the investigation but were not sampled, and 38.1 percent were electric vehicle manufacturers who did not cooperate with the investigation.

A table published by the European Commission at the time showed that 13 automakers, including Tesla, NIO (NYSE: NIO), Xpeng (NYSE: XPEV) and Leapmotor, were listed as electric vehicle producers that cooperated with the investigation but were not sampled.

The European Commission announced yesterday that it will impose temporary countervailing duties on electric cars imported from China from July 5, but at slightly reduced rates.

Specifically, the separate tariffs applied to the three Chinese products are:

BYD: 17.4 percent;

Geely: 19.9 percent;

SAIC: 37.6 percent.

Other Chinese EV companies that cooperated with the investigation but were not sampled are subject to a weighted average tariff of 20.8%. The tariff for other non-cooperative companies is 37.6%.

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