EU, China Continue Talks to Resolve EV Tariff Probe

The European Commission and Beijing are still searching for a way to avoid upcoming EU countervailing duties on Chinese electric vehicles, the commission said, even after EU member states voted to approve the measures earlier this month (see 2410040013).

EU trade chief Valdis Dombrovskis and Chinese Commerce Minister Wang Wentao discussed the tariffs Oct. 25 in a video call, during which they “reaffirmed their political commitment to finding a mutually agreeable solution.” That solution would need to create a “level playing field” for both European and Chinese EV makers and be compatible with World Trade Organization rules, the commission’s readout of the talks said.

The two sides have already held eight sets of “technical negotiating rounds” on the issue and plan to hold another round “shortly,” it said.

The Chinese commerce ministry readout of the talks said the two sides “reiterated the political will to resolve differences through dialogue” and “made it clear that price commitments will continue to be used as a solution to this case.” China also believes “positive progress has been made in some aspects,” according to an unofficial translation of the readout, “but major differences still exist on issues concerning the core concerns of the Chinese and European industries.”

The ministry said it hopes the EU and Beijing can “achieve substantive breakthroughs as soon as possible.”

Dombrovskis also expressed concerns about China’s ongoing antidumping probe on imports of European brandy (see 2410080021), along with similar investigations on EU pork (see 2406180009) and dairy (see 2409250010), “which the EU side finds unsubstantiated,” the commission said.

China said Wang told Dombrovskis that those cases “were initiated at the request of China's domestic industries and are in line with WTO rules and Chinese laws.”