China wants EU to scrap tariffs on EVs, urges US to stop ‘weaponising’ economic issues


China wants the European Union to scrap its preliminary tariffs on Chinese EVs by July 4, China’s state-controlled Global Times said citing observers, as both countries agreed to launch consultations on the anti-subsidy investigation.

Are you looking for signals & alerts from pro-traders? Sign-up to Invezz Signals™ for FREE. Takes 2 mins.

“Observers said the best outcome the Chinese side wants is that the EC, the executive body of the EU, scrap its tariff decision before July 4 and abide by WTO rules,” Global Times said.

Earlier this month, the EU announced that it would impose tariffs of up to 38% on electric cars produced in China, effective from July 4, if ongoing talks with Chinese authorities do not yield a satisfactory resolution.

A visit and a call as both regions start dialogue over the issue

Copy link to section

Even though friction remains, top officials from both regions initiated a dialogue over a call on Saturday.

“The call between Trade commissioner Valdis Dombrovskis and his Chinese counterpart Wang Wentao was “candid and constructive,” BBC reported citing an EU spokesperson.

However, the spokesperson also doubled down on the EU’s opposition to how the Chinese EV industry is funded, BBC said.

The call took place even as German vice chancellor Robert Habeck remained on a three-day visit to China in the first visit by a senior European leader since the tariffs were proposed.

Habeck’s trip was seen as a mediation of sorts between the two regions as he has personally spoken against punitive tariffs as a last resort even as Germany’s car manufacturers have also opposed the tariffs.

In comments on Saturday, Habeck called the planned talks a “first step,” with many more needed to bring both sides together.

Pressure from China to scrap tariff decision

Copy link to section

China has portrayed the initiation of talks as an example of its “utmost sincerity” in seeking to resolve trade disputes through talks.

Even so, it has stood its ground in demanding removal of such protectionist measures.

Global Times has cited obervers urging the EU “to address disputes from facts and China-EU economic and trade cooperation rather than being disrupted by political factors, especially US pressure.”

China has already launched an anti-dumping investigation into certain pork products imported from the EU in a retaliatory move.

US fires another salvo at China; proposes rule to restrict and monitor U.S. investments in China

Copy link to section

In the midst of EU and China seeking to talk their way out of a potential escalation of trade disagreements, the US Treasury department on Friday fleshed out a proposed rule that would restrict and monitor U.S. investments in China for artificial intelligence, computer chips and quantum computing.

The Biden administration has sought to stymie the development of technologies by China, the world’s second-largest economy, that could give it a military edge or enable it to dominate emerging sectors such as electric vehicles.

The proposed rule stemmed from president Joe Biden’s August 2023 executive order regarding the access that “countries of concern” have to American dollars that fund advanced technologies, which the U.S. government says would enhance their military, intelligence, surveillance and cyber capabilities.

The order identified China, Hong Kong and Macau as countries of concern.

US should stop weaponizing economic issues: China

Copy link to section

The Chinese Ministry of Commerce on Monday urged the United States to stop “politicizing” and “weaponizing” economic and trade issues, calling on Washington to lift restrictions against Beijing.

“China expresses serious concern about this and strongly opposes it, and also reserves the right to take appropriate measures,” the ministry’s spokesperson added.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *

Previous Post

Mt. Gox repayments news hits BTC, no respite for altcoins

Next Post

Shiba Inu outlook: What 417 trillion coins hitting break-even mean for SHIB price

Related Posts