Germany and China are actively lobbying European Union members to oppose tariffs on electric vehicles (EVs) in next week’s vote, the South China Morning Post (SCMP) reported, citing senior EU sources.
Berlin is reaching out to other European capitals to urge them to oppose the tariffs in the vote, scheduled for 25 September.
This comes as Chinese Commerce Minister Wang Wentao toured Europe to discuss the high-profile trade dispute with senior figures in influential governments.
According to Bloomberg, Germany is working with fellow carmaker Spain to persuade member states to abandon the plan.
Habeck-Wang meeting
After spending the weekend in Italy, Wang met Robert Habeck, Germany’s minister for the green economy, in Berlin on Tuesday, according to people familiar with the arrangements.
The Chinese commerce minister said the European Union’s imposition of tariffs on electric vehicles would “seriously hinder” trade and investment cooperation and harm both China and Germany.
In talks with Habeck, Wang said he hoped to find a solution in line with World Trade Organisation rules as soon as possible and prevent the escalation of economic and trade frictions between China and the EU, according to a statement released by China’s commerce ministry on Wednesday.
Wang added that he hoped Germany would “act in its own interest” and force the European Commission and China to work in the same direction.
We must avoid trade conflict at all costs, Habeck says
Habeck said Germany supports free trade, welcomes Chinese car and parts companies to invest in Europe and will encourage the European Commission to find an appropriate solution with China and make every effort to avoid trade conflicts, the ministry said in a statement.
Habeck called on the EU and China to find a political solution to the dispute over Chinese-made electric vehicles, arguing that a trade conflict must be avoided ‘at all costs’.
“My position is therefore clear: we need a political solution. The European Commission and China should make every effort to find a negotiated solution. I am also in contact with the European Commission on this issue,” Habeck added.
Beijing offers Berlin ‘dialogue and consultation’
Wang also met with German Minister for Special Affairs Wolfgang Schmidt in Berlin, the Chinese Ministry of Commerce said in a separate statement on Wednesday.
Wang told Schmidt that China insists that the anti-subsidy case against the country be properly resolved through dialogue and consultation.
Wang said China was “deeply disappointed” that the EU ignored China’s efforts, insisted on imposing high countervailing duties and hastily rejected the package solution proposed by the Chinese industry.
Chinese commerce minister to meet European car companies
Wang said China would not give up its efforts and would continue consultations ‘until the last moment’.
It is hoped that Germany, as a core member of the EU, will take the lead and play an active role in encouraging the European Commission to show political will and work with China to properly resolve the case,” Wang said, according to a second statement on the talks from the commerce ministry on Wednesday.
Wang, who will meet with European and Chinese auto industry officials at a roundtable in Brussels on Wednesday, will also meet EU trade chief Valdis Dombrovskis in the Belgian capital on Thursday morning to try to prevent the tariffs from taking effect.
