6/22/2024–|Last updated: 6/22/202403:53 PM (Mecca time)
German Economy Minister Robert Habeck considered…The customs duties that the European Union decided to impose on Chinese goods, including electric cars, are not a “punishment,” this came during a conversation he held with Chinese officials in Beijing today, Saturday.
Habeck’s visit to China is the first by a senior European official since the bloc proposed imposing heavy duties on imports of Chinese-made electric cars to combat what the European Union considers excessive subsidies.
China warned on Friday before his arrival that escalating disputes with the European Union over electric cars could lead to a trade war.
On June 12, the European Union announced that it would raise European customs duties on imports of Chinese electric cars to about 38%, accusing Beijing of illegally providing support to local car manufacturers.
Habeck said in the first session of the “Climate and Transformation Dialogue” between the two countries, “It is important to understand that these are not punitive fees.” He added that countries such as the United States, Brazil and Turkey used punitive duties, but the European Union does not do so. “Europe does things differently,” he continued.
Habeck explained that the European Commission studied in great detail over a period of 9 months whether Chinese companies had unfairly benefited from government support.
He added that any measure to impose counter-tariffs based on the review conducted by the European Union “is not punishment,” and that these measures aim to compensate for the advantages that Beijing grants to Chinese companies.
Sino-European dispute
“Common and equal standards of market access must be achieved,” Habeck said.
During his meeting with Zheng Shanjie, Chairman of China’s National Development and Reform Commission, Habeck said that the EU’s proposed tariffs aim to level the playing field with China.
“We will do our best to protect Chinese companies,” Cheng responded.
Cheng added that the proposed EU tariffs on the import of Chinese-made electric cars would harm both sides. He told Habeck that he hoped Germany would play a leadership role within the European Union and “do the right thing.”
He also denied accusations of unfair subsidies, saying that the development of China’s new energy sector was the result of widespread advantages of technology, market and industry chains, which were fostered by strong competition, saying that the growth of the sector “is the result of competition, not subsidies.”
The European Union fees are scheduled to be implemented temporarily by the fourth of next July, with the investigation continuing until the second of next November. If the fees are approved then, they will remain in place for 5 years.
After his meeting with Cheng, Habeck spoke with Chinese Trade Minister Wang Wentao, who said he would take up the issue of tariffs with EU Trade Commissioner Valdis Dombrovskis on Saturday evening in a video meeting.
