Suggesting Retaliatory Investigation While Leaving Room
Some EU Member States Also Oppose 'Tariff Bomb'
As the European Union (EU) has announced a 'tariff bomb' of up to 48% on Chinese electric vehicles, China is criticizing the EU while showing a more measured response compared to its reaction to the U.S. tariff hikes.
On the 13th, Chinese Foreign Ministry spokesperson Lin Zhen responded to questions about the EU's additional tariffs on China during a briefing, saying, "We urge the EU to listen to objective and rational voices from all sectors, immediately correct its wrongful actions, and stop politicizing economic and trade issues." Lin emphasized, "We hope that through dialogue and negotiation, frictions can be properly managed and mutual trust between China and the EU will not be damaged."
Commerce Ministry spokesperson He Yadong also stated at the briefing, "We urge China and the EU to adhere to the path of proper coexistence and to properly handle frictions through dialogue and negotiation." He added, "China has the right to file complaints with the World Trade Organization (WTO) and will take all necessary measures to steadfastly protect the legitimate rights and interests of Chinese companies."
At the same time, He hinted at a possible retaliatory investigation into EU dairy products and pork. When asked, "There are reports that China's industry is petitioning for anti-subsidy investigations on EU dairy products and anti-dumping investigations on EU pork products. Is this true?" He replied, "China's domestic industry has the right to file investigation requests to protect normal market competition order and its legitimate rights."
He further explained, "If the case meets the acceptance criteria, the investigating agency will initiate the investigation procedure and announce it publicly according to the law."
While voicing criticism toward the EU, China’s tone differs from its previous response to the U.S. tariff bomb. Unlike the overt condemnation directed at the U.S., China is emphasizing 'dialogue and negotiation' with the EU, leaving room for flexibility.
When the U.S. announced on May 14 that it would impose high tariffs on Chinese electric vehicles, lithium batteries, and semiconductors, Wang Yi, director of the Chinese Communist Party Central Foreign Affairs Office, criticized, saying, "The U.S. is oppressing China like crazy," and "Some U.S. officials have lost their rationality in order to maintain unipolar hegemony."
This 'measured approach' appears to take into account that among the 27 EU member states, some countries such as Germany, Sweden, and Hungary have opposed tariff increases due to concerns about Chinese retaliation and disadvantages to their own companies.
Chinese business groups and state media have also emphasized coexistence with the EU despite the critical tone. The China Council for the Promotion of International Trade (CCPIT) stated, "Disputes and contradictions should be resolved through negotiation and dialogue." The state-run English media outlet Global Times stressed, "The EU’s announcement is only a provisional conclusion," and "China’s attitude toward resolving the issue is sincere."
Earlier, on the 12th (local time), the European Commission announced that it had notified Chinese authorities and targeted companies of plans to impose provisional countervailing duties ranging from 17.4% to 38.1% on Chinese electric vehicles. The announced countervailing duty rates will be applied in addition to the existing 10% tariff. The countervailing duties are scheduled to be imposed starting next month, and if approved by the 27 EU member states in the second half of this year, they will be implemented for the next five years.
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