Beijing has promised to react harshly to the additional duties of the EU, which will be imposed on Chinese electric cars. The new round of tension between China and the EU is already worrying European producers of perfumery, cognac, pork and dairy products.
Chinese government officials have lashed out at the European Union over a planned increase in tariffs on electric cars, calling it “a blatant example of protectionism“.
The day before, the European Commission announced the introduction of new tariffs on the import of car manufacturers’ products from China. Dutieswhich are now 10%, may increase up to 38%, depending on specific companies.
Beijing believes that this decision could lead to a trade war.
“This will not only harm the legitimate rights and interests of the Chinese electric vehicle industry, but also disrupt the mutually beneficial cooperation between China and Europe in the field of carbon-free transportation, and also lead to the disorganization of the global auto industry and supply chains, including in the EU. This is an act of protectionism in its purest form“, said He Yadong, press secretary of the Ministry of Commerce of China.
The official added that China “reserves the right to lodge a complaint with the WTO”.
The anxiety of European producers of perfumery, cognac, pork and dairy products
Beijing has made it clear that it has an entire arsenal at its disposal.”ready-to-use tools“such as an anti-dumping investigation into brandy, which threatens French cognac producers in particular, and a complaint Chinese agri-food companies are making against European dairy subsidies.”
“We have our own interests to protect – these are the legitimate rights and interests of Chinese companies and the electric vehicle industry. We will take all necessary measures for this“, – noted the official representative of the Chinese Ministry of Foreign Affairs, Lin Jian.”
In recent weeks, BYD, Geely, Wuling, MG Xpeng and other Chinese manufacturers have filled European ships, ports and parking lots with their cars in anticipation of sanctions.
For its part, Brussels claims that the state support of “green” technologies in China leads to the fact that the internal market of the EU has been filled with cheap Chinese products.
Accusing Beijing of illegally incentivizing its producers in this market of the future and unfair competition, European Commission President Ursula von der Leyen began anti-subsidiary investigation in respect of these vehicles in September 2023.
To date a quarter of sales of new electric cars in Europe go to Chinese brandsand in 2020 their market share was less than 4%.
Chinese carmakers have particularly benefited from an EU ban on the sale of petrol and diesel engines until 2035 in an effort to combat global warming.
The new duties, which are expected to be introduced next month, are intended to level the playing field.