EU urged to raise China car tariffs
The European Union should consider raising tariffs on Chinese-made cars to increase pressure on Chinese automakers to form partnerships with European manufacturers such as Volkswagen, Saxony’s Economy Minister Dirk Panter said, Reuters reported, CE Report quotes AGERPRES.
“It is necessary to consider imposing higher EU tariffs on cars produced in China,” Panter said in an interview with the German newspaper Bild.
His comments come after Volkswagen warned it could close four of its factories in Germany over the coming years, including its electric vehicle (EV) plant in Zwickau, Saxony, if no alternative solution is found.
Volkswagen CEO Oliver Blume has said one possible option would be to manufacture Chinese-developed vehicle models in Europe and raised the prospect of partnerships with Chinese automakers.
“If a joint venture in Saxony could help avoid European tariffs, it would give us an advantage and allow us to negotiate from a completely different position,” Panter explained.
Chinese carmakers, including BYD, continue to expand their market share in Europe, particularly with popular plug-in hybrid models that are not subject to the current EU tariffs on Chinese-made electric vehicles.
“We will not keep Chinese automakers out of Europe. Anyone seeking access to our market must take responsibility for creating value and jobs in Europe,” Panter said.
Germany’s automotive industry continues to face pressure from weak demand across Europe, U.S. tariffs, and intensifying competition from Chinese manufacturers.
Photo: Chat GPT
