September 13, 2024
Chicago 12, Melborne City, USA
Uncategorized

China Issues Strong Warning to EU Ahead of Tariff Decision

China has accused the European Union of attempting to “suppress” its companies and has vowed to take measures to protect its interests as the EU nears a decision on imposing tariffs on Chinese electric vehicles (EVs).

Commerce Minister Wang Wentao expressed Beijing’s preference for resolving economic and trade disputes through dialogue and avoiding escalation. During a meeting with Chinese businesses in Spain on Saturday, Wang emphasized that the leaders of France, Germany, and the EU have indicated a desire to prevent a trade war. “If the EU does not adhere to its commitments and continues to suppress Chinese companies, China will take all necessary measures to firmly safeguard the legitimate interests of Chinese companies,” he stated.

The EU has initiated several trade investigations against China, citing concerns over anti-dumping and unfair subsidies, particularly in the clean technology sector. The bloc must notify Chinese EV exporters of any intended tariffs and their potential rates by early June, with implementation possible by the following month.

In response to the EU’s actions, China has launched an anti-dumping investigation into European brandy, specifically targeting French cognacs. State media have also hinted at potential retaliatory measures against European cars and pork.

Wang criticized the EU for using narratives of overcapacity, unfair competition, and other allegations to justify investigations into Chinese sectors such as EVs, railways, solar, and medical equipment. He called on the EU to abandon protectionist measures in favor of dialogue and cooperation.

During a visit to a planned Chinese car factory in Spain, Wang reiterated the need for collaboration. Vice Commerce Minister Ling Ji echoed these sentiments at a seminar with Chinese companies in Greece, condemning the EU’s anti-subsidy probes as disruptive to China-Europe supply chain stability and security.

Ling warned Chinese companies in Greece to be wary of the EU’s use of foreign subsidy rules and international procurement tools, asserting that China would not allow such tactics to undermine mutually beneficial cooperation.

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