The Chinese government has expressed strong criticism of the European Union’s recent adjustments to tariffs on electric vehicle (EV) imports, which have notably affected major automakers including Tesla. This move has intensified trade tensions between China and the EU over the issue of electric vehicle subsidies.

On Wednesday, a spokesperson for the Ministry of Commerce criticized the EU’s investigation into China’s subsidies for its EV industry, alleging that the probe had reached “pre-set conclusions” and was fostering “unfair competition.” The spokesperson emphasized China’s intent to “take all necessary measures to resolutely defend the legitimate rights and interests of Chinese companies.”

The European Commission’s recent decision, announced on Tuesday, involves reducing import duties on various Chinese electric vehicle manufacturers, including notable names like BYD, SAIC, and Geely. For Tesla, the tariff has been set at 9%, a significant reduction from the anticipated 20.8% rate. This adjustment is layered on top of the existing 10% EU duty on battery electric vehicles from China.

The EU’s tariff adjustments are part of a broader response to concerns that China’s substantial subsidies for its electric vehicle industry are creating an uneven playing field in the European market. The Commission’s actions, first revealed in June, aim to address what the EU perceives as distortions in competition caused by these subsidies.

The Chinese Ministry of Commerce has countered by stating that China has provided extensive documentation—“tens of thousands of pages”—to counter the EU’s claims. The Ministry argues that these submissions comprehensively addressed the EU’s practices and highlighted potential disruptions to the global automotive supply chain, including within the EU.

According to the Ministry, the EU’s final ruling did not adequately consider China’s input and was based on “facts” unilaterally identified by the EU rather than mutually recognized facts. The Ministry voiced strong opposition to the EU’s stance and expressed significant concern over the impact of these tariffs.

Looking ahead, the Chinese government hopes to resolve the trade dispute with the EU through practical measures and dialogue to prevent further escalation of trade frictions.

(Adapted from ChinaDaily.com.cn)