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Germany Hopes To Avoid Import Duties On Chinese Electric Cars
German Chancellor Olaf Scholz hopes that negotiations with Beijing can prevent the European Commission’s threatened punitive tariffs on Chinese electric cars. Scholz has been assured that the EU’s talks with Beijing are taking place for this purpose and sees this as “the right approach.”.
The Chancellor expects that the dispute could be resolved by the end of the month if everything goes according to plan.
The European Commission said last Wednesday that China practices unfair competition by subsidizing its own manufacturers. If nothing changes, there will be additional levies of more than 38 percent starting July 4. However, according to the German government, this threatens to embroil the EU in a trade war with China. That country is a very important sales market for Germany. China is the most important market for German car brands such as Mercedes-Benz and BMW.
Earlier this week, China urged Brussels to review import duties on Chinese electric cars and not to move further in the “wrong direction.”. “China and the EU have the most to gain from cooperation on key economic and trade issues. It is hoped that the EU will reconsider,” Beijing said.
