The dispute between the EU and China over additional tariffs on electric cars is putting a strain on trade relations. Spain is pushing for a compromise. This could also have something to do with a measure taken by China.
Spanish Prime Minister Pedro Sánchez wants to reconsider his country’s position on the EU’s additional tariffs on electric cars from China. Everyone, not just member states but also the Commission, must reconsider their position on this step, he said in Kunshan. Sánchez ended his visit of several days in the eastern Chinese city near Shanghai, during which he met with head of state and party leader Xi Jinping and other high-ranking government members.
“I believe we need to build bridges between the European Union and China,” Sánchez said. Spain will act constructively and try to find a compromise between China and the EU Commission. “Of course we are rethinking our position,” he said with regard to the EU tariffs.
Sánchez thus hinted at a possible change of course in his country ahead of an important vote. According to media reports, Spain had supported the additional tariffs in the summer. The EU member states must decide on this in October. The EU announced the tariffs in June after a months-long investigation. Chinese manufacturers would then have to accept further surcharges on the already existing standard import tariffs for their electric cars.
According to Brussels, manufacturers in China are unfairly benefiting from state subsidies and distorting the EU market with cheap vehicles. Beijing accuses the EU of protectionism and has already responded with investigations into pork imports from the EU, among other things. Spain, as the most important exporter of such products to China, would be particularly affected.
Sánchez press conference, Spanish/English
Source: Stern
