China on Thursday warned that looking into Chinese state subsidies for electric vehicles would have a “negative impact” on economic and trade ties between the bloc and Beijing.
The Chinese commerce ministry deemed the decision to launch the probe to have been motivated by a desire to protect European markets from competition.
What Beijing has said
“China believes the investigative measures proposed by the European Union are in reality to protect its own industry in the name of ‘fair competition’,” the Commerce Ministry said in a statement.
“It is a naked protectionist act that will seriously disrupt and distort the global automotive industry and supply chain, including the EU, and will have a negative impact on China-EU economic and trade relations,” it added.
China urged the EU “to carry out dialogue and consultation with the Chinese side, create a fair, non-discriminatory and predictable market environment for the joint development of the China-EU electric vehicle industry.”
Response to Brussels
European Commission President Ursula von der Leyen had on Wednesday announced the anti-subsidy probe, pledging to protect the 27-member bloc’s automakers against unfair competition.
