- Chinese automakers urge Beijing to hike tariffs on European gasoline cars in response to EU’s restrictions on Chinese EV exports.
- A meeting in Beijing with industry leaders such as SAIC, BYD, BMW, and Volkswagen aims to pressure Europe over trade measures.
- The proposal suggests raising tariffs on European sedans and SUVs with engines above 2.5L from 15% to 25% amidst escalating global trade tensions.
Chinese automakers have reportedly urged Beijing to increase tariffs on European gasoline-powered cars in response to Brussels’ restrictions on Chinese electric vehicle (EV) exports, and the state-backed Global Times reported that industry leaders from China, including SAIC and BYD, as well as European counterparts BMW, Volkswagen, and Porsche, met in Beijing under the Ministry of Commerce’s auspices.
Sources familiar with the matter revealed that the closed-door meeting aimed to exert pressure on Europe in light of recent trade measures. These include the European Commission’s decision to impose anti-subsidy duties on Chinese EVs starting in July, which mirrors actions by the United States, which have heightened global trade tensions.
Discussions at the meeting focused on increasing provisional tariffs on imported European sedans and SUVs with engines larger than 2.5 litres. The suggestion is to raise tariffs from 15% to 25% to balance trade interests amid Europe’s protective trade policies and China’s export strategies amidst domestic economic challenges.
Earlier reports from the Global Times hinted at potential retaliatory measures by China, including investigations into European pork products for anti-dumping measures and scrutiny of EU dairy imports. These actions reflect broader geopolitical manoeuvring as global economic powers navigate trade disputes and protect domestic industries.
The situation underscores ongoing tensions between China and Western economies, illustrating evolving trade dynamics and their implications for global markets.