China has strongly rejected the European Commission's recent decision to impose anti-subsidy duties on Chinese-made electric vehicles (EVs), calling the move \"protectionist.\" The new tariffs, which range from 7.8% for cars produced in Tesla's Shanghai plant to 35.3% for Chinese brand SAIC, will take effect this Thursday and last for five years, according to China Central Television.
In a statement on Wednesday, a spokesperson from the Chinese Commerce Ministry expressed disagreement with the EU's action and announced that China has filed a lawsuit with the World Trade Organization (WTO) dispute settlement mechanism. \"China does not agree with or accept the EU's move and will take all necessary measures to firmly safeguard the legitimate rights and interests of Chinese enterprises,\" the spokesperson added.
The China Chamber of Commerce for Import and Export of Machinery and Electronic Products (CCCME) criticized the European Commission for what it called \"unfair, unreasonable, and subjective conclusions,\" stating that the ruling violates WTO rules and the EU's anti-subsidy regulations.
German auto industry association VDA President Hildegard Muller warned that the tariffs would burden European manufacturers exporting from China more than their US competitors, potentially escalating trade conflicts. She also noted that the increased costs would make vehicles significantly more expensive for consumers.
Meanwhile, the China Chamber of Commerce to the EU expressed disappointment, arguing that the tariffs will not benefit the EU's EV manufacturing sector. Instead of fostering innovation and creating jobs, the tariffs are likely to hinder collaboration and progress. The chamber urged both sides to accelerate negotiations and eliminate the tariffs to promote cooperation and innovation.
On a positive note, a spokesperson from the Chinese Commerce Ministry highlighted China's commitment to resolving trade disputes through dialogue and consultation. Technical teams from both sides are currently engaged in a new round of discussions aimed at finding a mutually acceptable solution to avoid escalating trade frictions.
Despite the tensions, China exported 928,000 EVs in the first nine months of the year, marking a 12.5% increase compared to the same period last year. The top importers in the first eight months were Belgium, Brazil, and the UK, according to data from the China Association of Automobile Manufacturers (CAAM).
