The European Union has implemented additional tariffs on electric cars imported from China, effective since the end of October 2024, and these tariffs are set to last for five years.

Officials from both sides are set to continue technical talks in a virtual format next week to further address the tariff issue.

Discussions have focused on establishing a minimum import price for electric vehicles as an alternative to the newly implemented tariffs, with an emphasis on necessary monitoring and enforcement measures.

Intensive discussions between European Commission and Chinese trade officials have been ongoing for a week, with both sides reporting technical progress.

China's Ministry of Commerce has emphasized that the negotiations aim to maintain mutual trust and will continue through video links or other means.

These talks reflect the EU's broader strategy to strengthen trade relations with China while addressing market competition concerns.

The European Commission argues that these tariffs are crucial for securing the long-term future of the EU automotive industry, citing that Chinese manufacturers benefit from unfair subsidies, allowing them to sell vehicles approximately 20% cheaper than EU-produced models.

These discussions occur within the context of increasing global competition in the electric vehicle market and the EU's commitment to sustainable transportation solutions.

The discussions also included tools for monitoring and enforcing any price commitments, indicating a constructive dialogue.

EU trade officials are optimistic about reaching an agreement that could benefit both parties in the electric vehicle sector.

Despite the ongoing negotiations, Germany has expressed strong criticism regarding potential trade conflicts and retaliatory measures against its manufacturers.

Preliminary countervailing duties were introduced by the EU Commission in July 2024, leading to the current situation regarding tariffs.