Electric Car Trade War: China And Germany Looking For Solutions!

BYD SEAL U DM-i won five-star EURO NCAP safety test. (Doc. BYD Europe)

JAKARTA - Recently, China and the European Union's relations have been heating up regarding the EU's high tariff on electric cars made in China.

Reuters reported, September 18, China's Minister of Trade, Wang Wentao, met with Germany's Deputy Chancellor and Minister of Economics, Robert Habeck, to discuss the EU's plan to charge up to 35.3 percent on Chinese electric cars. This tariff will add 10 percent of EU standard car entry duties.

Wang expressed concern. He said the policy would "seriously disrupt" trade and investment cooperation, as well as harm the two countries, especially China and Germany.

During the meeting, Wang hoped to achieve a solution in accordance with World Trade Organization (WTO) regulations as soon as possible. He also asked Germany as a key member of the European Union to encourage negotiations and avoid trade conflicts.

Germany, through Habeck, expressed its support for free trade. He welcomed the investment of Chinese car companies and parts in Europe. Germany will also encourage the European Commission to find the right solution with China and seek to avoid trade conflicts.

Previously, China had repeatedly expressed disappointment that the European Union ignored their efforts to resolve this issue through dialogue and consultation. China also objected to the high tariff plan proposed by the European Union.

Wang insists that China will not give up and will continue to seek consultations "until the last moment." Will China and the European Union reach an agreement? Interesting to wait for further developments.