Electric vehicles are in the cross-hairs of a new trade barrier between China and Europe as the European Union is still deciding whether to slap tariffs on Chinese-made electric cars.
The nation’s transport minister said the tariffs could spark a chain reaction and put the German economy at risk, but the Economy Minister shared a different view.
He welcomed the tariffs with open arms and said action must be taken if there’s enough evidence to justify it.
Earlier this month, the EU launched an investigation into Chinese electric vehicles flooding the global market. The prices of those cars are well under average thanks to state subsidies from Beijing.
“What has been announced is a launch of anti-subsidy investigation which is going to be be (a) fact-based investigation, which will provide sufficient opportunities also for engagement with both Chinese authorities and Chinese industry,” Vladis Dombrovskis, EU Executive VP and Trade Commissioner, said on Saturday.
During a four-day trip to China, he spoke about the possibility of Europe taking a more assertive stance against unfair trade practices.
However, he also committed to continuing trade with the Chinese regime. He called on Beijing to step up cooperation and move the relationship forward, according to the Commission, the probe has 13 months to wrap up and take action.