Negotiations between the European Union and Chinese electric vehicle (EV) manufacturers on minimum price offers are facing significant challenges, according to a senior EU official quoted by Reuters news agency.
The talks are aimed at avoiding the imposition of EU tariffs following an anti-subsidy investigation into EVs.
The European Commission has received proposals from the Chinese Chamber of Commerce, which represents several EV manufacturers, and individual exporters.
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The senior official expressed skepticism about reaching a resolution by the end of October, a deadline that coincides with the conclusion of the EU investigation into EV subsidies.
The official noted the complexity of the issues involved, stating, “I don’t rule it out, but it seems extremely complicated to reach an agreement by the end of October, due to the complexity and difficulty of the issues to be resolved.”
The EU has indicated that discussions could extend beyond the October deadline. However, the official stressed the unprecedented nature of establishing a minimum price for a product as complex as automobiles. Historically, price commitments have involved more homogeneous products.
Further complicating the picture, China has recently urged the European Union to refrain from engaging in separate price negotiations for EVs manufactured in its territory, arguing that this could undermine the basis for bilateral tariff discussions.
The EU official stressed the need to consider all offers, calling it “highly unusual” to focus on a single price commitment without evaluating the others. The Commission is obliged to review all proposals submitted in the negotiation process.
