Germany’s Economics Minister Robert Habeck has called for a political solution to resolve the escalating dispute over the European Union’s proposed tariffs on electric vehicles (EVs) imported from China. In a statement released on Tuesday, Habeck emphasized the importance of avoiding a trade conflict that could spiral into mutual harm.
“We want to avoid a trade conflict that could escalate into a tariff spiral, ultimately harming both sides,” Habeck stated. He reaffirmed the need for fair competition and highlighted China’s significant role in the German and European economies. “Germany welcomes competition with China, but it must be on fair terms,” he added.
Habeck urged the European Commission and China to engage in negotiations to find a mutually beneficial solution. “A political solution is essential,” he said, underscoring the importance of dialogue in resolving trade disputes.
His remarks align with the German government’s position expressed during a press conference last week. A government spokesperson reiterated Germany’s skepticism about the EU’s proposal to impose additional tariffs on Chinese EVs, a stance that remains unchanged. The spokesperson also noted that Spanish Prime Minister Pedro Sanchez had called on EU member states and the European Commission to reconsider their position on the matter.
“We are very pleased that talks between China and the EU are continuing to prevent such tariffs,” the spokesperson said. “It would benefit all parties if other EU member countries also recognized that tariffs are not in the best interests of their industries.”
The European Commission imposed provisional additional tariffs on Chinese EV makers in July, following its anti-subsidy investigation launched in October 2023. The tariff plan has sparked concerns among industry experts and business insiders across Europe. Critics argue that the move may exacerbate competitiveness issues within the EU, hinder the region’s transition to green energy, and escalate trade tensions with China, rather than protecting the European automotive industry as intended.
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German official urges political solution to EV tariffs with China
cgtn.com
