The European Union and China have agreed to hold additional technical discussions on potential alternatives to new tariffs on Chinese-manufactured electric vehicles. Despite remaining substantial differences, both sides are exploring options like minimum pricing agreements from Chinese EV producers or increased Chinese investments within Europe as alternatives to tariffs.
The EU plans to apply tariffs up to 35.3% on Chinese-built EVs next week after an anti-subsidy investigation but has stated that talks will continue beyond this implementation.
“The principals agreed that further technical negotiations would take place shortly”, the Commission said after a video call between EU trade chief Valdis Dombrovskis and Chinese Minister of Commerce Wang Wentao.
The European Commission, overseeing trade policy for the EU’s 27 nations, has held eight rounds of technical discussions with Chinese officials but noted that “significant gaps” remain. Both EU trade chief Valdis Dombrovskis and Chinese Commerce Minister Wang Wentao reaffirmed their commitment to a fair, WTO-compliant solution that maintains market balance within the EU. China recently advised the EU to avoid separate negotiations with individual companies, stating this could “shake the foundations” of ongoing talks. Dombrovskis also raised EU concerns over China’s investigations into EU exports like brandy, pork, and dairy, which the EU considers “unsubstantiated.”
