EU and China to Ramp Up Talks on Electric Vehicle Tariffs

The European Commission and China are intensifying discussions to prevent EU import tariffs on China-built electric vehicles. EU Trade Chief Valdis Dombrovskis and Chinese Commerce Minister Wang Wentao held a discussion, agreeing to revisit a minimum-price deal. The EU expressed concerns over China's trade investigations on EU imports.

The European Commission and China have agreed to intensify their efforts to prevent EU import tariffs on China-built electric vehicles, potentially re-examining a previously rejected minimum-price deal, the Commission stated on Thursday. This agreement comes as EU nations prepare to vote on proposed tariffs up to 35.3%, besides the EU's standard 10% import duty on cars.

The discussion between EU trade chief Valdis Dombrovskis and Chinese Commerce Minister Wang Wentao on Thursday was described as 'frank and constructive' by a Commission spokesperson. Dombrovskis emphasized that the EU's anti-subsidy investigation is fact-based, aiming to ensure fair competition. Both parties reaffirmed their commitment to finding an effective, enforceable, and WTO-compatible solution.

The two sides agreed to reconsider price undertakings involving minimum price commitments by exporters and potential volume caps. Previously, the EU executive had indicated that the deadline for Chinese EV price offers had passed. Despite this, Dombrovskis noted the EU would continue its investigation. The European Commission also expressed significant concerns over China's trade probes into EU imports of brandy, pork, and dairy, labeling them as unwarranted and based on dubious claims.

(With inputs from agencies.)