China on Thursday, the 14th of September condemned the European Union’s action as “blatant protectionism” after Commission President Ursula von der Leyen announced on Wednesday, the 13th of September, that she would open an investigation into state subsidies for Chinese electric vehicles manufacturers, reports Politico.
China voiced its deep concern and dissatisfaction regarding the investigation, expressing concerns about its
potential negative impact on China-EU economic and trade relations.
China pledged to closely monitor the protectionist tendencies and subsequent actions by the European side while firmly protecting the legitimate rights and interests of Chinese companies.
China’s response followed von der Leyen’s announcement in her annual State of the Union address that an investigation into Chinese e-carmakers would be launched due to
Beijing’s “distortion” of the European market.
This investigation, driven in part by French pressure to address emerging Chinese car manufacturers, potentially sets the stage for additional taxes on Chinese vehicles by the EU. Yet, it also leaves European automakers, especially major German brands, vulnerable to potential reprisals from Beijing.
The investigation will be a key focus of the EU-China economic and trade dialogue on the 25th of September in Beijing and the upcoming bilateral summit. The Chinese commerce ministry did not mention these talks in its statement.
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