Tariffs on Chinese EVs: China files a complaint with WTO

China reiterates its strong opposition to the tariffs imposed by Europe on electric cars it manufactures and sells on the Old Continent. Yesterday it filed a complaint with the World Trade Organisation (WTO)

"China believes that the EU's final ruling on anti-subsidy measures lacks factual and legal basis, violates WTO rules and represents an abuse of trade remedy measures," said a ministry spokesperson in the statement read in Automotive News Europe.

"We urge the EU to address its mistakes and immediately correct its illegal practices, as well as jointly maintain the stability of the global electric vehicle supply chain and economic and trade cooperation between China and the EU."

Meanwhile, the Chinese Ministry of Commerce confirmed on Friday that the EU will send representatives to the country to negotiate. "China welcomes and hopes that the next round of consultations will be conducted according to the principles of pragmatism and balance in order to reach a mutually acceptable solution," it added.

Increasingly tense talks

After months of negotiations, the EU published the regulation introducing the definitive duties in its official journal, and the talks between the parties have so far been unsuccessful. "We are not interested in trade wars," said the new EU trade chief Maros Sefcovic, adding that it is necessary to rebalance bilateral relations with China.

The European Commission, however, said it wanted to address several issues, including overcapacity in critical sectors and the access of European companies to the Chinese procurement market.

China encourages investment in Slovakia

Meanwhile, as the relationship between China and the EU becomes increasingly strained, China is urging the Czech government to play an active role in resolving trade relations between the two sides. China intends to strengthen its investments in the Czech Republic and also in Slovakia, one of the five EU countries to oppose the tariffs.

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Chinese President Xi Jinping, says Reuters, has encouraged 'powerful' Chinese companies to invest in Slovakia.

Read also:

SAIC sues EU over "unfair" EV tariffs; MG Motor dodges impact

Dongfeng suspends plans to produce cars in Italy

How China has become a problem for Western carmakers

China braces for tariffs as auto production reaches record high

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