Car industry China takes EU tariffs on e-cars to the WTO
The dispute over provisional EU tariffs on electric cars from China is entering the next round. China is taking the matter to the Dispute Settlement Body of the World Trade Organization (WTO).
09.08.2024, 14:14
SDA
On Friday, the Ministry of Commerce in Beijing cited the protection of the rights and interests of the domestic electric car industry as the reason. The EU's provisional decision lacks a factual and legal basis. It violates WTO rules and undermines global cooperation and the handling of climate change.
Beijing is calling on the EU to immediately correct its misconduct and work together to ensure economic and trade cooperation as well as the stability of the supply chain in the e-car industry, a spokesperson said in a statement.
Long process
Cases before the WTO Dispute Settlement Body often drag on for years. In theory, the parties involved can also appeal against rulings, but the mechanism has not worked for years because the USA has prevented the appointment of new experts. They want to build up pressure for major reforms in the WTO.
Since the beginning of July, security deposits have been required for electric cars from China. The EU Commission wants to clarify with the EU states in the coming months whether the duties will actually be due.
After months of investigation, Brussels came to the conclusion that e-cars are unfairly subsidized in China and that imports from the country endanger the industry in the EU. The surcharges against various manufacturers range up to 37.6 percent.
