China has sharply criticized the EU’s additional tariffs on Chinese electric cars that came into effect on Wednesday. “China neither agrees nor accepts the decision,” the Commerce Ministry said.
But they have noted with goodwill the EU’s announcement that they will continue to negotiate price agreements – and hope to find a mutually acceptable solution as soon as possible to avoid an escalation of the trade dispute.
According to the Ministry of Commerce spokesperson, China has filed a complaint under the World Trade Organization (WTO) dispute settlement mechanism.
The rates will rise to 45.3 percent
The EU has decided to increase tariffs on electric vehicles produced in China to 45.3 percent. The measure, which came into effect on Wednesday, follows a year-long anti-subsidy investigation by the European Commission. The additional tariffs range from 7.8 percent for Tesla to 35.3 percent for the Chinese manufacturer SAIC and are in addition to the standard import duty of ten percent. The European Commission justified the tariffs with unfair subsidies, including preferential financing, subsidies, but also batteries and raw materials at prices below market levels.
The commission under President Ursula von der Leyen ignored German resistance with the decision, which is valid for five years. There was harsh criticism from the German car industry.
China wants to expand punitive duties on EU products
China has already responded and imposed punitive tariffs on cognac from the EU. Further so-called anti-dumping investigations with possible punitive duties are underway against European pork and dairy products.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
