EU and China to rekindle talks on electric car pricing policies
In light of the American tariffs on cars imported to the United States, China and the European Union plan to resume discussions concerning the minimum prices of Chinese electric vehicles in Europe. The decision was made following a meeting of trade ministers from both sides.
According to Chinese Ministry of Commerce spokesperson He Yadong, during last week's discussions, representatives from China and the European Union agreed to recommence negotiations regarding minimum price commitments for Chinese electric cars as soon as possible.
The head of the Chinese ministry, Wang Wentao, and his EU counterpart, Maroš Šefčovič, met in Beijing to discuss economic and trade issues. Both parties agreed to maintain regular ministerial communication and enhance information exchange on key economic topics.
By the end of October 2024, the European Union implemented higher import tariffs on Chinese electric cars.
The new tariffs, ranging from 7.8% to 35.3%, are in addition to the existing 10% tariffs. This decision was made in response to China subsidising production, which enabled the sale of cars at reduced prices, representing unfair competition for European manufacturers.
Investigations into unfair practices
In response to the European Union's actions, China has initiated its own investigation into unfair trade practices, including those involving European dairy and pork products.
Europe remains the major recipient of Chinese electric vehicles, accounting for about 40% of the production.
Chinese Ministry of Commerce spokesperson He Yadong stated that both parties have designated contact persons and instructed their working teams to concentrate on key economic and trade issues. The aim is to prepare for the next stage of high-level exchanges between China and the EU.
