China’s ambassador to the European Union, Fu Cong, expressed discontent with the EU’s examination of Chinese electric vehicle manufacturers regarding state subsidies. In an interview with Bloomberg News, he deemed the probe “unfair.”
Cooperation Amid Concerns: While objecting to the investigation’s fairness, Fu emphasized that China is actively cooperating with the EU. He stated that this cooperation aims to prevent a scenario where both sides resort to trade measures against each other.
Comparative Critique: Fu pointed out a perceived double standard, noting that the EU subsidizes many of its own companies. He suggested that if China adopted a similar approach, numerous aspects could potentially become subject to investigation.
EU Investigation Background: The European Commission initiated an investigation last year to assess whether punitive tariffs should be imposed. This move aimed to shield European Union producers from what it claims are cheaper Chinese electric vehicle imports benefiting from state subsidies.
Upcoming Inspections: Recent reports from Reuters indicated that European Commission investigators are set to inspect Chinese automakers in the coming weeks. This inspection is part of the ongoing probe, focusing on companies such as BYD, Geely, and SAIC.
Growing Tensions: Tensions between China and the EU have been escalating, partly attributed to Beijing’s closer ties with Moscow following Russia’s invasion of Ukraine. The EU, aiming to reduce reliance on China, especially for materials crucial to its green transition, seeks to navigate a complex geopolitical landscape.