China Commerce Minister: Will discuss electric vehicle tariffs with US
China: Commerce Minister Wang Wentao will discuss US restrictions on electric vehicles with his US counterpart Gina Raimondo, state news agency Xinhua reported on Tuesday. The talks will also cover other “important economic and trade issues”, the report said, and come at a time when Beijing is trying to avert EU tariffs on Chinese-made EVs. On Friday, the EU’s 27 member states are expected to vote on a European Commission proposal to impose tariffs of up to 35.3 per cent on vehicles for the next five years due to concerns about state subsidies.
The United States imposed a 100 per cent tariff on Chinese-made EVs in May.
Wang and Raimondo last spoke by phone in January and Xinhua said the latest proposed call is part of a communication mechanism that Wang has stressed must remain “active”. “The communication between the two commerce ministers will help promote the stable development of China-US economic and trade relations and create favourable conditions for mutually beneficial cooperation between enterprises of the two countries,” the report said. In January, Wang had raised “serious concerns” over US restrictions on the export of chip-making lithography machines as well as Washington’s investigations into semiconductor supply chains.
The two countries disagree on a range of economic and technological issues.
The US tariffs on Chinese EVs are part of a broader package that covers a total of US$18 billion worth of goods including solar panels and lithium-ion batteries in response to “Beijing’s unfair trade practices.”
The tariffs on Chinese EVs previously stood at 25 per cent.
China’s Vice-Minister of Commerce Wang Shouwen protested about the tariffs when he met US Undersecretary of Commerce for International Trade Marisa Lago in the Chinese city of Tianjin last month.
Lago, in turn, expressed concern about “China’s continued non-market policies and practices, and excess capacity in many industrial sectors.”
