EU and Chinese officials are discussing alternatives to European tariffs on Chinese EVs, but no solution is imminent, Reuters quoted unnamed European officials as saying.
The European Union denied that the bloc was close to a deal with China on electric vehicle (EV) tariffs, after an official's remarks last week sparked widespread discussion.
EU and Chinese officials are discussing alternatives to European tariffs on Chinese EVs, including minimum sales prices for such vehicles in Europe, but no solution is imminent, Reuters said in a report yesterday, citing unnamed European officials.
Bernd Lange, the chair of the trade committee of the European Parliament, told German broadcaster n-tv on November 22 that Brussels and Beijing were close to reaching a solution on tariffs on Chinese EV imports into the EU.
"We are close to an agreement: China could commit to offering e-cars in the EU at a minimum price," Lange said, without elaborating.
In the report yesterday, Reuters quoted European officials as saying that Lange's claim was incorrect because while the talks were continuing, there were still stumbling blocks that prevented a deal.
The EU officials spoke on condition of anonymity because of the sensitivity of the negotiations with China, the Reuters report noted.
The EU's anti-subsidy investigation into battery electric vehicle (BEV) imports from China ended on October 29, and a five-year policy of additional tariffs went into effect the next day.
Different car companies face different tariff rates, ranging from 7.8 percent for Tesla China to 35.3 percent for SAIC Motor. These tariffs are additional to the original 10 percent.
Meanwhile, the EU and China continue to work on alternative, WTO-compliant solutions to effectively address the issues identified by the investigation, the European Commission said in an October 29 statement.
One of the options being considered is to set a minimum price for BEVs imported from China in order to increase their price.
Notably, on October 27, Chinese state TV station CCTV's social media account Yuyuan Tantian posted an article saying that after in-depth discussions on the specifics of a price commitment plan for China-made EVs, the two sides had reached a “technical consensus” in the negotiations.
China BEV export growth to slow this year on EU tariffs and lower demand, says Canalys
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