EU members expected to back imposition of duties on Chinese EVs in Nov

Brussels, Aug 5 (Agency) EU countries are likely to support the imposition of proposed duties on Chinese electric vehicles in November as they understand the need to protect domestic producers, the Financial Times newspaper reported on Monday, citing European Commissioner for Trade Valdis Dombrovskis. 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. “It’s clear that member states realise the need to protect the EU’s car industry because this risk of injury is there. The Chinese battery electric vehicle market share is growing very rapidly. That subsidisation is there,” Dombrovskis told the Financial Times, adding that the matter “needs to be addressed.” Member states are expected to vote on the proposal to impose tariffs in late October, with the tariffs taking effect in November.

The European markets are more open to Chinese goods and businesses than the Chinese market is to Europeans, the commissioner said, adding that further discussions with Beijing will focus on eliminating trade barriers and ensuring “more reciprocal trade.” “That argument can be made on any trade-distorting subsidies. But the point is that we have a major EU car industry, and this car industry is at risk if we allow this kind of distortion of the level playing field,” he 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.