China has suggested setting minimum prices for electric vehicles ( EVs ) China ships to the European Union in a negotiated move to stop the bloc’s plans to impose tariffs of 17 to 35.3 % on Chinese EVs.
The European Commission had planned to voting on the tariff proposals on September 25, but it was postponed without cause. The voting will take place within the year beginning September 30 according to Nikkei.
Wang Wentao, the Foreign minister of commerce, and Valdis Dombrovskis, the European Commission’s executive vice president and business commissioner, met in Brussels on September 19 to discuss the vote’s delay.
In a blog on X on September 19, Dombrovskis stated that” Both sides agreed to intensify efforts to find an efficient, legal, and WTO-compatible alternative to the power EV situation.” ” This without prejudice to the EU investigation and its deadlines” . ,
In a media briefing on Thursday ( September 26 ), He Yongqian, a spokesperson for the Chinese Ministry of Commerce, stated that both China and the EU have unmistakably indicated political willingness to resolve disputes through consultations.
The two sides agreed to continue discussions over a “price responsibility deal” and totally commit to achieving a mutually satisfactory solution through friendly speech and sessions during the Wang-Dombrovskis deals, she said.  ,
” Now, technical teams from both sides are positively discussing a flexible rate determination option, following the direction set during the deals”, she said. Before the final decision, they are attempting to reach a compromise on a remedy model.
She emphasized that while China is totally committed to protecting the interests of Chinese firms, it has the “utmost sincerity” to resolve disputes effectively through speech and consultations.
Some Chinese experts believe that some EU members who want to avoid a full-fledged trade war with China are interested in China’s request of a “price dedication agreement” and that its proposal is a good one. Nevertheless, they said, the present may not be enough to alter the EU’s tax choice.  ,
Zheng Chunrong, director of the Center for German Research at the School of Foreign Studies Tongji University, told Beijing Daily in an interview that Spain has stated that China and the EU should never engage in a trade conflict while Germany’s position has also become more explicit.  ,
” But, for an opposition message has never reached a level that may prevent the taxes”, he said. ” It’s great that the EU keeps its talks with China. But it’s hard to tell how things may develop”.
At least 15 nations, representing 65 % of the EU’s population, must support the proposed EV tariffs, according to qualified majority voting in the EU. If implemented, the taxes will last for at least five years.
12 out of 27 EU members voted in favor of the EC’s decision to impose temporary tariffs on Chinese EVs in a non-binding voting held in July. They included France, Spain and Italy. Four nations cast ballots opposed to it. The remaining 11 people, including Germany, abstained.  ,
Cui Fan, a professor at the University of International Business and Economics ‘ School of International Trade and Economics, said,” It is very difficult to find enough Western countries to reject the EC’s anti-subsidy sensor effects.”
Cui claimed that they only make up 61.4 % of the Union population and can oppose the tariffs, perhaps if Spain, Italy, and all 11 of the 11 waiting nations joined hands.  ,
Chinese EV manufacturers separately made a proposal to the EU in August to establish least minimum sales and sales quotas to stop the bloc’s EV markets from exploding. But, the EU rejected all these presents.
Our investigation focused on whether these offers may end the harm caused by the subsidies that were found in our investigations and whether these cost commitments could be properly monitored and enforced, according to a EC spokesperson on September 12. ” The Commission has concluded that none of the offers met these requirements” . ,
After this news, Wang traveled to Europe to make one final push to entrance the EC against the taxes. It’s also unclear, yet, whether his work will work to change Union minds.  ,  ,
One Hubei-based journalist opined that would be absurd for the EU to accept China’s “price dedication” proposal.  ,
He said BYD has already priced its flagship Tang SUV at 72, 000 euros ( 563, 000 yuan ) in Europe for 2025 while the same model was priced at about 200, 000 yuan in China.  ,
He claimed that in order to compete with Western EV manufacturers, the Tang design might need to be priced at 800,000 yuan in the EU. He claimed that requiring Chinese automakers to increase product prices would only harm Union customers ‘ interests.  ,
Hostile trade actions are already in the works. China’s MoC launched anti-dumping investigations into exports of cheese from the EU in August and meat in June.
Last year, China imported 2.6 billion euros ( US$ 2.9 billion ) worth of pork products and 1.76 billion euros of dairy products from the EU. At the same time, China exported 438, 034 power EVs for 9.7 billion dollars to the Union over the same time.  ,
Chinese EV manufacturers may pay more in total value than the EU’s producers of pork and dairy products, but they might be able to more easily withstand the pain given their higher profits.  ,
Read: China targets EU meat in tit-for-tat business spit
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