Chinese industry body criticises EU’s electric vehicle investigation
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EU’s electric vehicle investigation: A Chinese industry body, the China Chamber of Commerce for Import and Export of Machinery and Electronic Products (CCCME), has criticised the European Union’s investigation into electric vehicles (EVs) as biased, non-transparent, and in violation of global trading rules. The investigation, launched by the European Commission last September, is examining whether punitive tariffs should be imposed on Chinese EV imports allegedly benefiting from state subsidies to protect EU producers.
Shi Yonghong, vice president of CCCME, expressed concerns about the investigation’s potential bias and lack of objectivity in its findings. He highlighted the issue of sample selection, as the EU chose to examine Chinese-owned producers like BYD, Geely, and SAIC while excluding top exporters like Tesla and Renault’s Dacia, according to Transport & Environment.
Yonghong criticised the EU’s departure from its principle of selecting the largest exporters and suggested that the EU’s sample selection was intended to support predetermined findings of subsidisation, stating, “This biased sample selection has tainted the entire investigatory process.”
Another point of contention raised by Yonghong was the lack of transparency in the investigation. He noted that EU manufacturers were granted anonymity, and the EU provided insufficient data, particularly regarding the assessment of injury to the EU industry.
In response, the European Commission emphasised that the investigation and its findings would adhere to EU and international obligations, emphasising that it plays by the rules, both within its borders and globally. A spokesperson for the EU stated, “This anti-subsidy investigation is thorough, fair, and fact-based.”
Yonghong argued that Chinese manufacturers were not harming EU carmakers, as they focused on different market segments, and EU producers themselves were key importers from China. He also highlighted opposition from several EU manufacturers, such as BMW, which warned that the probe could be more harmful than beneficial.
Additionally, Yonghong criticised the EU for what he described as double standards, pointing out that while the EU was scrutinising Chinese subsidies, it was not taking action against similar subsidies. He also noted the EU’s significant investments in battery and EV production, suggesting a lack of consistency in its approach.
(with Reuters inputs)
