- The agency surprised many last week when it released an anti-subsidy investigation focused on the EV market in the world’s second-largest economy.
- “China has expressed strong concerns and strong dissatisfaction with this,” a spokesperson for China’s Ministry of Commerce said in a translated statement following the announcement.
- Ahead of the deadline to ban the sale of diesel cars by 2035, the current state of the EV market is attracting attention in the EU.
The European Union is “very far away” from imposing new tariffs on Chinese electric vehicles, a senior official told CNBC, days after the European Union launched an investigation into subsidies given by the Chinese government.
Maroš Šefčović, vice president of the European Commission, the EU’s executive body, told CNBC on Tuesday: “We are far from imposing import duties on Chinese cars. To be fair, these investigations are necessary. It has to be done properly.” .
The agency surprised many last week when it released an anti-subsidy investigation focused on the EV market in the world’s second-largest economy. The European Commission believes that cheap Chinese electric cars are flooding the European market, with prices kept low by heavy state subsidies.
“China has expressed strong concerns and strong dissatisfaction with this,” a spokesperson for China’s Ministry of Commerce said in a translated statement following the announcement.
“China will pay close attention to the EU’s protectionist tendencies and subsequent actions, and will resolutely protect the legitimate rights and interests of Chinese companies,” the spokesperson added.
Committee Said The anti-subsidy investigation could last up to 13 months after it begins. It also said that if legally warranted, provisional measures must be taken within nine months, followed by four months before final measures are taken.
Aerial photo of vehicles destined for Europe parked at Taicang Port in Suzhou, Jiangsu Province, China, December 19, 2022.
Video Visual China Group | Getty Images
“But in the meantime, it is clear that we must redouble our efforts to ensure that our automotive industry remains highly competitive. We are always very proud that our products are manufactured in China,” said Šefčović. .
The share of Chinese-made electric cars sold in Europe rose to 8% this year. European officials claim this could reach 15% by 2025.
Furthermore, European officials point out that Chinese-made EVs cost about 20% less than those made in the EU.
In the EU, the current state of the large electric vehicle market is receiving increasing attention. Deadline to ban sales of new diesel cars by 2035.
“We do a lot of work in the battery sector and with car manufacturers and are currently organizing various industry roundtables. [where] We are talking more closely with the European automotive industry about what it needs and where we can help, to really roll out more EV models and not only in the European market but also in the global market. We want to be strong,” Šefčović said.
The EU already imposes a 10% tariff on all imported cars. However, the US tariff will be even higher at 27.5%.