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European leaders, businesses oppose EC's tariff hike on Chinese EVs

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European leaders, businesses oppose EC's tariff hike on Chinese EVs

2024-10-05 10:29 Last Updated At:15:37

The European Commission (EC)'s announcement on Friday of its approval to impose punitive tariffs on Chinese battery electric vehicles (EVs) has sparked criticism from European countries and auto industries who warn the move could boomerang on the European Union's (EU) competitiveness.

The loudest opposition against the tariff came from Germany. In the wake of Chancellor Olaf Scholz's call for continuing negotiations with China on Wednesday, Germany's Finance Minister Christian Lindner wrote on social media platform X that the EU Commission should not trigger a trade war, calling for a negotiated solution.

In a statement released on Friday, Hildegard Muller, president of the German Association of the Automotive Industry said the vote was a further step away from global cooperation.

Germany's auto giant Volkswagen also issued a statement, pressing for adopting a negotiation approach. It said that the planned tariffs are a wrong approach and would not improve the competitiveness of the European auto industry.

BMW CEO Oliver Zipse told local media that the vote was a fatal signal for the European automotive industry, adding a quick solution is needed between the European Commission and China to prevent a trade conflict that will ultimately lead to losers on both sides.

Echoing these concerns, Hungary voted against the tariff. "What they are making us do right now, or what the EU wants to do, is an economic Cold War," Hungarian Prime Minister Viktor Orban told state radio in a Friday interview, referring to the EU tariffs on China.

Hungarian Minister of Foreign Affairs and Trade Peter Szijjarto said the punitive tariffs would kill the future competitiveness of the European economy.

Matjaz Han, Slovenia's minister of economy, tourism and sport, also voiced opposition to the tariffs on Chinese EVs, and warned of "too high a price" for Europe. Instead, he advocated for more practical economic and trade cooperation between the EU and China.

Following the EU announcement, the Brussels-based China Chamber of Commerce to the EU (CCCEU) expressed deep disappointment over the voting results and strong dissatisfaction with the EU's adoption of protectionist trade measures.

The CCCEU urged the EU to approach the final measures with caution, suspend the implementation of these tariffs and focus on resolving disputes and differences through talks.

This would help avoid the escalation of bilateral trade disputes and jointly safeguard free trade and prosperity in the green and clean energy sectors on both sides, as well as worldwide, the chamber said in a statement on Friday.

On Friday, China's Ministry of Commerce firmly opposed the draft final ruling of the EU. A spokesperson said the ministry urged the EU side to be clearly aware of the harm of imposing additional tariffs, as it will not solve any problems but only waver Chinese enterprises' confidence and resolve in, and prevent them from, investing in Europe.

European leaders, businesses oppose EC's tariff hike on Chinese EVs

European leaders, businesses oppose EC's tariff hike on Chinese EVs

European leaders, businesses oppose EC's tariff hike on Chinese EVs

European leaders, businesses oppose EC's tariff hike on Chinese EVs

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Chinese business group strongly urges EU to be prudent with tariffs on Chinese EVs

2024-10-05 12:50 Last Updated At:13:47

The China Chamber of Commerce to the European Union (CCCEU) issued a statement on Friday, expressing strong dissatisfaction with the EU's protectionism measures to raise tariffs on Chinese electric vehicles (EVs).

The European Commission -- the executive arm of the 27-nation EU -- approved to impose tariffs of up to 45 percent on Chinese EVs after a pivotal vote on Friday, even after the bloc's largest economy and major car producer Germany rejected them.

The CCCEU urged the EU to act prudently, suspend the implementation of tariffs on Chinese EVs, and focus on resolving disputes and differences through talks.

This would help avoid the escalation of bilateral trade disputes, and jointly safeguard free trade and prosperity in the green and clean energy sectors on both sides, as well as worldwide, the chamber said in the statement.

The EU’s countervailing investigation against China's EVs is an unfair protectionist practice driven by politics. Imposing high tariffs will not only affect Chinese enterprises but also interfere with the production of EVs in China by European and other overseas enterprises, the chamber said.

Chinese business group strongly urges EU to be prudent with tariffs on Chinese EVs

Chinese business group strongly urges EU to be prudent with tariffs on Chinese EVs

Chinese business group strongly urges EU to be prudent with tariffs on Chinese EVs

Chinese business group strongly urges EU to be prudent with tariffs on Chinese EVs

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