China says it has a deal with the EU on steps to resolve their dispute over EV imports

China says it has reached a deal with the European Union on exports of Chinese made electric vehicles to the bloc

China EU Dairy (Copyright 2023 The Associated Press. All rights reserved)

China said Monday it has reached a deal with the European Union on exports of Chinese made electric vehicles to the bloc.

The Commerce Ministry in Beijing said the EU will be issuing guidelines on minimum pricing for Chinese auto exporters. It did not directly mention if the deal involved an end to the tariffs of up to 35.3% that the EU imposed on imports of Chinese EVs in 2024 following an investigation.

The expansion of Chinese EV makers overseas has alarmed automakers in Europe and the U.S. The EU imposed the tariffs to counter an influx of affordably priced Chinese EV models into its markets, saying Chinese automakers had benefited from unfair government subsidies. The U.S. enacted a 100% tariff on China-made electric cars in 2024.