China Files WTO Complaint Over EU Tariffs

China has lodged a complaint with the World Trade Organization (WTO) in response to the European Union's recent imposition of tariffs up to 35% on Chinese-made electric vehicles, which officials say are necessary to counteract state subsidies that undercut European automakers. This decision, which follows an EU investigation, has been criticized by Germany and Hungary, who fear it could escalate into a trade war with Beijing. China's Ministry of Commerce rejected the tariffs, asserting that it will take all necessary measures to protect the rights of Chinese companies. The tariffs, which are on top of a pre-existing 10% import duty, will be definitive for five years. The EU trade chief defended the measures as a means to ensure fair competition, though the move has been labeled as 'unfair trade protectionism' by Chinese officials. If consultations between the two parties fail, China may escalate the matter to a special judicial panel as per WTO rules.