Since the beginning of October, the EU Commission has had free rein to impose additional tariffs on electric cars from China. Since then, the wires between Beijing and Brussels have been glowing. Is there still a chance of an agreement?
According to information from Brussels, the EU and the People’s Republic still see “significant remaining gaps” in the negotiations over additional tariffs on electric cars imported from China. EU Trade Commissioner Valdis Dombrovskis took stock of the past eight rounds of talks via video link with China’s Trade Minister Wang Wentao. Further negotiations are to follow.
According to the announcement, the topic was a possible compromise in which exporters could enter into price commitments and thus avert tariffs. The EU was already exploring possible price agreements with some Chinese brands, although Beijing had warned exporters about this. According to Brussels, both sides confirmed that they wanted to find an amicable solution that creates a level playing field on the EU market and is compatible with the World Trade Organization (WTO).
China responds with anti-dumping investigations
At the beginning of the month, a sufficient majority of EU states voted for additional tariffs on electric cars from China – Germany voted against. It is therefore up to the EU Commission whether the import duties will come into force at the beginning of November. From their point of view, China is artificially depressing the price of its electric cars with high subsidies, which threatens to harm the European industry.
China responded with anti-dumping investigations into dairy products, spirits and pork. According to the statement, Dombrovskis expressed concerns about this and emphasized that the EU considers these investigations to be unfounded.
Source: Stern
