The EU's trade chief, Valdis Dombrovskis, stated on Thursday that he had engaged in 'constructive' discussions with China's commerce minister, Wang Wentao, as Beijing endeavors to secure an agreement with Brussels to avert steep tariffs on imported electric vehicles (EVs). The meeting took place amid growing divisions within Europe concerning the proposed tariffs. Last week, Spain urged the EU to 'reconsider' plans for duties of up to 36 percent on Chinese electric cars, aligning with Germany's opposition.
'Constructive meeting with Minister of Commerce Wang Wentao. Both sides agreed to intensify efforts to find an effective, enforceable, and WTO (World Trade Organization) compatible solution,' Dombrovskis announced on X. Wang also addressed businesses in the EV sector in Brussels on Wednesday, stating that China 'will certainly persevere until the final moments of the consultations,' as reported by the Chinese Chamber of Commerce to the EU.
In July, the European Commission unveiled plans to impose import duties on electric vehicles from China following an anti-subsidy investigation initiated last year, which found that Chinese EVs were unfairly undercutting European competitors. The EU aims to safeguard its automobile industry, a cornerstone of Europe's industrial sector that employs approximately 14 million people. The commission oversees trade policy for the 27-country bloc. The tariffs are currently provisional and will only become definitive for five years after a vote by member states, expected to occur before the end of October.
China has vehemently opposed the EU's plans, cautioning that it could escalate into a trade war. Last month, China also filed an appeal with the WTO over the tariffs. Beijing has initiated its own investigations into European brandy, certain dairy, and pork products imported into China. Dombrovskis informed Wang that these probes were 'unwarranted, based on questionable allegations, and lack sufficient evidence,' according to the EU's trade spokesperson, Olof Gill. 'He thus called for these investigations to be terminated and informed the Chinese side that the EU will do its utmost to defend the interests of its industries,' Gill added in a statement.
