FRANKFURT (Reuters) – Brussels and Beijing are close to a solution over tariffs on Chinese electric cars sold in the bloc, the chairman of the European Parliament’s trade committee told German broadcaster.
“We are close to an agreement: China can commit to providing e-cars in the EU at a low price,” Bernd Lange told n-tv, without elaborating. “This removes the distortion of competition through unfair subsidies, which is why the tariffs were first introduced.”
The European Commission could not be reached for comment.
The European Union last month decided to increase tariffs on Chinese-made electric cars to 45.3% in its latest trade probe, a move that has divided Europe and prompted retaliation from Beijing.
The tariffs, which came into effect on October 30, were put in place to counter what it says are unfair subsidies including subsidies and grants as well as land, batteries and equipment at below-market prices.
Despite the looming tariffs, both sides continued negotiations to find a solution, raising hopes among German carmakers – which are heavily dependent on the Chinese market – that a trade dispute could be avoided.
China’s Chamber of Commerce in the EU at the time said it was deeply disappointed by the “protectionist” and “anti-competitive” EU measure.
(Reporting by Christoph Steitz; additional reporting by Benoit Van Overstraeten; editing by Jonathan Oatis)