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A balanced EV deal can help steady Sino-EU economic ties

China Daily | Updated: 2024-11-25 08:29
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SAIC Motor's IM brand showcases its electric SUV LS6 at the 2024 Auto Guangzhou on Nov 15. [LI FUSHENG/CHINA DAILY]

Brussels and Beijing are nearing a solution over their dispute on Chinese-made electric vehicle imports into the European Union, the chair of the trade committee of the European Parliament told a German broadcaster.

"We are close to an agreement: China could commit to offering e-cars in the EU at a minimum price," Bernd Lange told n-tv, without elaborating." This would eliminate the distortion of competition through unfair subsidies, which is why the tariffs were originally introduced."

The EU last month decided to increase "anti-subsidy" tariffs on Chinese-made EVs to as much as 45.3 percent, a move that has divided the bloc and triggered retaliation from Beijing.

Despite the tariffs coming into force last month, it is good to see both sides have continued negotiations to find a solution, with the focus on a price commitment, following the strong calls and high expectations from various sectors in China and the EU for the proper handling of the case.

Regarding the price commitment negotiations, consultations should be conducted based on mutual consideration of core concerns, on the basis of mutual trust, and in accordance with the principles of pragmatism and balance. Particularly, both the effectiveness of the agreement and the core interests of enterprises should be taken into account so that a balanced and sustainable deal can be reached at an early date that can serve the common interests of both sides.

China will unswervingly safeguard the legitimate rights and interests of its enterprises, while it doesn't want to see the EU's politically motivated duties pull the otherwise stable China-EU economic and trade relations into a tariff war, although that is what some parties within and outside the EU want to see.

The EU should realize that a souring trade relationship with China will seriously harm its own interests, and thus it should maintain its strategic autonomy in dealing with its major trading partner and the world's second-largest economy.

The bloc should also respect the basic rules of the market and, especially, listen to the appeals of those member states that are not in support of the tariffs, as well as industry players including those within the region.

- Xinhua News Agency

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