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[text/observer network chen sijia] "the eu tariff policy is unfair to consumers. why doesn't the eu impose additional tariffs on american cars?" the hong kong "south china morning post" published an article on september 15, saying that chinese electric vehicles with lower prices and better quality have gradually replaced european and japanese and korean brands in recent years, occupying an increasingly large share of the eu market, but the eu recently announced that it would impose additional tariffs on chinese cars, which aroused dissatisfaction among european consumers.

some european consumers complained that the eu's move may lead to higher prices for chinese electric vehicles in europe. the eu imposed tariffs on chinese cars while turning a blind eye to american cars, which is unfair to european consumers facing inflation and cost of living pressures.

the article stated that in recent years, driven by affordable prices, chinese-made electric vehicles have expanded rapidly in the european market, and the number of chinese electric vehicles exported to the eu last year has increased to nearly 2.5 times that of 2021. in the past two years, the market share of european, japanese and korean brands such as seat, renault, toyota and hyundai, which once dominated the eu market, is gradually being taken over by chinese auto brands.

chinese electric vehicles have a strong presence in spain, where four of the country's 10 best-selling electric cars are chinese brands. in barcelona, ​​spain's second-largest city, major transport operator transport de barcelona metropolitano also tested several electric buses last month, including models from chinese automaker byd.

jose, a spanish taxi driver, told the south china morning post that the quality of chinese electric cars is amazing and they are affordable, but just when he was planning to buy a chinese car, the eu announced that it would impose additional tariffs on chinese cars.

jose was an economic analyst who lost his job during the financial crisis in 2008 and is currently working as a taxi driver in barcelona. it is reported that taxi drivers can earn a good income in barcelona, ​​but these incomes are not enough to keep up with the rate of inflation and rising living costs in europe.

jose believes that eu decision-makers have ignored the needs of everyday consumers, especially those whose purchasing power has declined after the covid-19 pandemic, which may cause european consumers to bear additional costs. "this tariff is unfair to consumers facing inflation. why doesn't the eu impose tariffs on american cars?"

andres, a venezuelan working in barcelona, ​​told the south china morning post, “it’s not just chinese cars that are growing in europe. i was also surprised by the number of chinese sports brands that appeared at the paris olympics. many affordable chinese products are entering spain through e-commerce platforms, especially clothing.”

andres pointed out that cheap and high-quality chinese mobile phones and electric cars have increased the purchasing power of some working-class and even unemployed young people in spain. however, andres admitted that he does not plan to buy an electric car because he believes that spain lacks sufficient charging infrastructure.

the south china morning post said that chinese electric vehicles have attracted spanish consumers with their excellent quality and low prices. the average selling price in the country is about 28,000 euros (about 220,000 yuan), which is about 60% to 70% of western brands such as tesla and bmw. however, the eu's tariff policy may lead to a decrease in the number of chinese electric vehicle exports and an increase in prices in the european market.

alexander brown, an analyst at the german think tank mercator institute for china studies, said that the eu's tariffs may increase the prices of chinese cars that are popular in spain, making their prices close to other european or japanese and korean car brands popular in spain. however, he claimed that chinese companies can still export cars to the eu, and the competitive pressure from chinese companies may "prompt european companies to innovate and reduce costs."

alicia garcia-herrero, chief economist for asia pacific at natixis, said that the eu's demand for chinese electric vehicles has shrunk, "but this is not because of the price, but because of the lack of charging facilities, which will especially affect europeans who travel long distances."

the european commission announced in july that it would impose additional tariffs on chinese electric vehicles. according to a reuters report on september 10, the european commission disclosed the draft final ruling on the anti-subsidy investigation on chinese electric vehicles last month. based on the materials submitted by the companies, the european commission slightly reduced the additional tax rates on some car companies.

people familiar with the matter revealed that the additional tax rate on tesla imported from china was reduced from 9% to 7.8%, and that on geely was reduced from 19.3% to 18.8%. the additional tax rate on byd remained unchanged at 17%, while companies such as saic that "do not cooperate with the eu investigation" will be subject to the highest tax rate of 35.3%, a slight decrease from the previous 36.3%.

the european commission's proposal will be submitted to the 27 member states for a vote, and unless 15 or more eu member states, accounting for more than 65% of the eu's total population, vote against it, the permanent anti-subsidy tariffs will take effect at the end of october.

however, some eu member states have raised objections. spanish prime minister pedro sánchez said in china on september 11: "i must be frank and say that all of us - not only eu member states, but also the european commission - need to reconsider this decision. as i said before, we don't need another war, a trade war."

regarding the eu's plan to impose additional tariffs, chinese foreign ministry spokesman mao ning said on the 12th that china has always been sincere and actively sought solutions that are in line with wto rules and acceptable to both sides. it is hoped that the eu will listen more to rational and objective opinions, fully recognize the complementary advantages and cooperation potential between china and europe in the field of electric vehicles, show flexibility and sincerity, meet china halfway, properly handle economic and trade frictions through dialogue and consultation, and promote the healthy and stable development of china-eu economic and trade relations.

the spokesperson of the ministry of commerce also said earlier that the anti-subsidy case on electric vehicles is complex and has a wide impact. it is challenging for china and the eu to reach an agreement through consultations. however, china believes that as long as the eu shows sincerity and moves towards each other, the concerns of both sides can be resolved through consultations. china is willing to continue to work closely with the eu to strive to reach a solution that is in the common interests of both sides and in line with wto rules as soon as possible, and promote the healthy and stable development of china-eu economic and trade relations.

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