Beijing to EU: 'We do not accept duties on e-cars, we will defend our companies'
"China does not agree with or accept the decision and has filed a complaint under the WTO dispute settlement mechanism," said a Ministry of Commerce spokesperson, for whom China "will take all necessary measures to firmly protect the legitimate rights and interests of its companies."
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Beijing 'does not agree with or accept' the new EU duties on e-cars made in China at the end of anti-subsidy investigations that have highlighted critical issues for European car manufacturers.
"China does not agree or accept the decision and has filed a complaint under the WTO dispute settlement mechanism," said a spokesperson for the Ministry of Commerce, for whom China "will take all necessary measures to firmly protect the legitimate rights and interests of its companies," while noting that the EU will continue "consultations with China on the price commitment plan."
EU duties operational from 31 October
Following the publication of the implementing regulation in the Official Journal, the EU measures will become fully operational on 31 October. In detail, the new duties amount to 7.8% for Teslas produced in Shanghai, 17% for Byd's e-cars, 18.8% for Geely and 35.3% for Saic. By contrast, for the other groups cooperating in the antitrust investigation, the import surcharge is 20.7% compared to 35.3% for all reticent companies. Altogether, adding the 10% surcharge already in place, the tariffs will reach 45% and, once in place, will be final and last for five years.
"China has repeatedly pointed out that the EU's anti-subsidy investigation into Chinese electric vehicles has numerous unreasonable and non-compliant aspects, which represent protectionist practices," the Ministry of Commerce spokesman reiterated in the note. "We hope that the EU will adopt a constructive attitude, working with China to quickly reach a mutually acceptable solution and avoid an escalation of trade friction.
Beijing launches investigation into subsidies for EU products
Beijing, in response, has also launched investigations into EU subsidies for certain dairy and pork products imported from the Dragon, as well as sanctioning brandy. The growing trade tensions between Beijing and Brussels are not limited to electric cars, with the EU also investigating Chinese subsidies in the solar panel and wind turbine sectors. The EU is not the only one to have imposed high tariffs on Chinese electric car imports. In recent months, Canada and the US have enacted much higher measures, amounting to 100 per cent, in order to curb possible distorting effects on domestic industries.
