EU, China Negotiate to Avert EV Tariffs

The European Union (EU) and China are engaged in intensive negotiations to avert impending tariffs on China-built electric vehicles (EVs). EU trade chief Valdis Dombrovskis and Chinese Commerce Minister Wang Wentao have held 'frank and constructive' discussions, with both sides showing political will to find a mutually agreeable solution. The EU's anti-subsidy investigation, which could lead to tariffs of up to 35.3%, has been a point of contention, with China arguing that the investigation undermines mutual trade confidence. Despite China's flexible proposals and last-minute efforts, the EU has so far dismissed these offers, maintaining that previous deadlines for price undertakings have passed. Key EU member states, including Germany and Spain, have expressed concerns over the potential trade war and economic damage the tariffs could cause. The EU is set to vote on the tariffs on September 25, with the outcome potentially impacting the European automotive market and broader EU-China trade relations.