China goes to WTO over EU tariffs on Chinese EVs

Beijing, Aug 10 (Agency) China has appealed to the World Trade Organisation’s (WTO) dispute settlement mechanism over the European Union’s tariffs on Chinese electric vehicles, the Chinese Commerce Ministry said on Friday. European Commission spokesman Eric Mamer said in July that the commission aimed to impose import tariffs on Chinese electric vehicles as a means to correct an imbalance in EU-China trade caused by Beijing’s state subsidies. The tariffs are expected to be imposed in the fall. Until then, an agreement with Beijing is still possible, Brussels said. “With the aim of protecting the interests of the development of the electric vehicle industry and global cooperation in ecological transformation, China, on August 9, resorted to dispute settlement mechanisms of the WTO in relation to the EU’s compensation measures related to electric vehicles,” the ministry said in a statement.

Brussels’ decision lacks facts and a legal basis, the statement said, adding that it seriously violates WTO rules and harms global cooperation in combating climate change. “We call on the EU to alter their faulty action immediately and jointly promote China-EU economic cooperation, as well as the stability of production and supply chains of electric vehicles,” the ministry also said.In early July, the European Union imposed provisional temporary import duties on battery electric vehicles (BEVs) from China after accusing Beijing of unfair subsidies. The duties were reportedly calculated on the basis of subsidies received by specific Chinese producers. The Chinese Commerce Ministry protested the decision. China was the European Union’s largest trading partner in 2023, accounting for 20.5% of EU imports. The most imported Chinese-manufactured goods were machinery and vehicles.