The European Union has agreed to impose new import duties on Chinese electric vehicles to try to stem their massive arrival on the market. This is not to the taste of Beijing, which has strongly criticized this announcement since Wednesday evening.
2 mins
With our correspondent in Beijing, Stéphane Lagarde
China had anticipated these sanctions with a law adopted last April by the Chinese Parliament which aims to strengthen the response capabilities of the world’s second largest economy. Even if for the moment, Beijing still intends to negotiate and change the minds of member states, by pressing where it hurts and targeting key sectors.
Threats to cognac and dairy products
For this, China has an arsenal of ready-to-use tools, such as the anti-dumping investigation on brandies which especially threatens French cognac manufacturersor last week, a complaint from Chinese agri-food companies against European subsidies on dairy products.
In the crosshairs of the Chinese authorities, we also and above all have Berlin. We saw it at the last Shanghai auto show, foreign manufacturers are struggling to survive in the Chinese market facing the incredible breakthrough of electric cars made in china ». Until five years ago, taxis in Beijing were South Korean or Japanese, today everything is Chinese or almost everything. And apart from luxury cars, the sedans we see on Chinese streets are essentially German. Will the latter be taxed in turn, to weigh on the Germans before the European Council meeting? In any case, this is what some analysts in China predict, if Germany does not block the project of European customs duties which should come into force from July 4.
Export of Chinese excess capacity
Another anticipation, those of Chinese manufacturers who must absolutely export their excess capacity as part of a price war for life and death on the Chinese market. In recent weeks, BYD, Geely, Wuling, MG Xpeng and other Chinese manufacturers have filled boats, ports and parking lots in Europe with their vehicles, anticipating the arrival of sanctions. Beijing also repeats that it will defend its interests in the face of a European decision described as “ disguised protectionism » by the Chinese Chamber of Commerce in Europe.
A speech relayed since yesterday by all Chinese institutions: the Chinese Ministry of Commerce expressed its “ strong disappointment “, the Chinese Association of Automobile Manufacturers announces ” his deep discontent “. Even if once again, it is behind the scenes that the negotiations take place. Chinese diplomacy is using all levers to try to divide the countries of the Union on the adoption of these sanctions.
Read alsoEU threatens to impose new taxes on Chinese electric vehicles from July