China Criticizes EU's Extensive Demands in Electric Vehicle Subsidy Probe

China Criticizes EU’s Extensive Demands in Electric Vehicle Subsidy Probe

Beijing, China — China has voiced strong concerns over what it describes as the European Union’s “unprecedented” demands in an ongoing anti-subsidy investigation into Chinese electric vehicles (EVs). The Chinese Ministry of Commerce announced on Thursday that the European Commission (EC) has requested information that significantly exceeds the necessary scope of such an investigation.

According to Ministry spokesperson He Yadong, the EC’s preliminary ruling last week proposed imposing high provisional tariffs on Chinese EVs. In preparation for this decision, the EC demanded extensive details from Chinese EV and battery manufacturers. The requested information includes production methodologies, planning strategies, technical processes, battery compositions, production costs, sales data, pricing strategies, customer information, and intricate supply chain details.

He stated that the EC warned of unfavorable rulings should Chinese firms fail to comply fully with these demands. “Our companies were shocked and disappointed,” He remarked. “Despite providing the best possible information, they were accused of non-cooperation and faced the imposition of punitively high tariffs on their products.”

The Ministry contends that the EU’s actions lack a solid factual and legal foundation, arguing that they disregard World Trade Organization rules. He emphasized that such measures undermine fair competition and hinder global efforts toward a green transition and international cooperation in the EV sector.

“China is firmly opposed to the EU’s approach,” He declared. “We will take all necessary measures to safeguard the legitimate rights and interests of our firms.” The statement signals potential repercussions in the trade relationship between China and the EU, particularly in the burgeoning EV market where Chinese manufacturers have been expanding their global presence.

The dispute highlights the growing tensions in international trade as countries navigate the balance between protecting domestic industries and promoting fair competition. Business professionals, investors, and global readers are closely monitoring the situation for its potential impact on Asian and European markets, as well as the future of international cooperation in sustainable technologies.

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