According to Reuters, sources told the media on Friday (12) that Germany will abstain in the vote on Monday (15) on the imposition of provisional tariffs on Chinese electric vehicles by EU member states.
The EU's temporary tariffs of up to 37.6 percent on electric vehicles imported from China do not require the support of EU member states, but plans to impose tariffs could ultimately be blocked if a majority of the bloc's 27 member states vote against it.
The report cited sources as saying that the EU's largest economy (Germany) will abstain from the vote because the anti-subsidy investigation is continuing and negotiations between the European Commission and the Chinese government are also ongoing. The sources declined to be identified because the decision is confidential.
Reuters said that abstaining in the first stage of the vote effectively means backing the European Commission to continue negotiations with the Chinese government in the EU's biggest trade case to date.
German carmakers, which generated a third of their sales from China last year, are opposed to tariffs on Chinese electric vehicles, fearing a trade conflict, Reuters added. France is one of the staunchest supporters of the case, while Hungary has condemned it. In addition, other EU member states are wavering on how to vote, and the vote is the first official test of support for the commission's tariff moves. It is the first trade case of its kind to be launched by the EU without an industry complaint.
Asked about the abstention plan late on Friday, German Chancellor Angela Scholz said Germany expected the EU executive to succeed in reaching a deal with China on electric vehicles and that the deal would benefit the European auto industry. But he declined to confirm how Germany would vote. "These cars are globally competitive and there is no need to worry about competition," Scholz told reporters after a meeting with the Japanese prime minister. "But we must always ensure fair conditions for all parties."
According to previous media reports, in response to the European Commission's imposition of tariffs on electric vehicles imported from China, European politicians and business people have continued to express dissatisfaction, believing that this will harm the interests of European consumers, will delay the transformation and upgrading of the European automotive industry, is not conducive to Europe's competitiveness, and will not help achieve carbon neutrality. The German Automobile Industry Association issued a statement on the 3rd, opposing the EU's imposition of temporary anti-subsidy tariffs on electric vehicles imported from China. The association believes that this is not in the interests of the EU, will not only have a negative impact on European consumers and businesses, will hinder the development of the EU's domestic electric vehicle market, and will not be conducive to achieving climate goals.
The German Automobile Industry Association believes that in the medium to long term, Chinese electric vehicles will not "flood" the European market. Improving the competitiveness of the European automotive industry should be achieved by promoting innovation and free trade, rather than relying on trade protection measures. The association called on the European Commission to abandon its temporary anti-subsidy tariffs on Chinese electric vehicles, resolve the issue through dialogue, and work with China to ensure open markets, ensure supply chain security, and meet environmental goals.
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