On June 20, He Yadong, spokesman of the Ministry of Commerce of China, pointed out at the regular press conference of the Ministry of Commerce that "China firmly opposes the temporary tariffs on automobiles adopted by the EU on a factual and legal basis that undermine fair competition, and will take all necessary measures to firmly defend the legitimate rights and interests of Chinese enterprises."
He Yadong said that the EU's relevant practices lack factual and legal basis, ignore WTO rules, undermine fair competition, and undermine global green transformation and open cooperation. It seems that Westerners, under the cloak of protecting their own industries, are actually hiding deeper and more complex motives. This statement confirms the relevant media reports before, and there is a reason why SAIC Group was treated differently by the top level. Reuters was the first to report that SAIC said that it had provided all the necessary information related to the countervailing investigation in accordance with WTO and EU rules, but commercially sensitive information such as the formula of the battery did not fall under the category of "necessary information".
The EU-China Chamber of Commerce pointed out in the "Statement on the European Commission's Pre-disclosure of Temporary Countervailing Duties on Chinese Imports of Electric Vehicles" issued on June 12 that the EU has abused its investigative power in the countervailing investigation, and some investigation directions and areas have gone beyond the scope of the countervailing investigation, and have put forward unreasonable and beyond the scope of evidence presented by enterprises, and have not provided sufficient time for enterprises and stakeholders to respond and present evidence.
Earlier, the European Commission announced that it intends to impose temporary additional tariffs ranging from 17.4% to 38.1% on electric vehicles imported from China. Among them, SAIC, a leading company exporting to the EU, was threatened with a tariff rate of 38.1% (the final tariff rate increased to 48.1% on the basis of the original EU auto tariff of 10%), and the tariff rate of other companies was between 27.4% and 31%.
The purpose of the EU's differential tariffs on Chinese car companies is very obvious, that is, it wants to "kill the chickens and make an example" to divide the camp of Chinese car companies, pick up soft persimmons and pinch them to get the technology and business secrets they want. In recent years, China's electric vehicle industry has developed rapidly and has won respect and recognition in the global market. In particular, SAIC MG has achieved remarkable results in the European market with its innovative technology and strong product strength. According to the data, MG has been the "China's single-brand export champion" for 5 consecutive years, with global sales of more than 840,000 units in 2023, representing a firm foothold in the developed country market, and for every 10 cars exported to Europe, 7 are MGs, with a cumulative export of 2.2 million units, and it is expected to exceed the 3 million mark this year.
The MG4 EV, the main EV model under the SAIC MG brand, also performed very well, with cumulative overseas sales exceeding 130,000 units in 2023, winning the European compact EV sales champion and China's new energy vehicle export champion. Therefore, the suppression of SAIC MG is actually a targeted blockade of the main force in the European market for Chinese car exports.
SAIC MG remains confident about its future development in Europe. I believe that after a few years of development, when our competitive advantage is big enough for the other party to recognize the reality, they will definitely cancel unreasonable tariffs, because the real damage is their consumers. Through continuous innovation and quality improvement, Chinese automakers will be able to achieve their rightful position in the global market.
It is worth mentioning that the EU's trade protection measures are not only unfair to Chinese car companies, but also have a huge negative impact on the EU's own industry and consumers. Chinese electric vehicles have won the favor of European consumers due to their cost-effective and green environmental protection characteristics. In this case, the increase in tariffs will undoubtedly directly increase the price of these products, and it will be the ordinary consumer who will ultimately bear the cost. However, due to the lack of competition, local enterprises in the EU have lost the motivation to innovate and improve, which will also hinder the development of their own industries in the long run.
In the face of various unfair treatment by the EU, China's Ministry of Commerce said that it will continue to negotiate and negotiate with the EU through multilateral and bilateral channels to strive for a fair and reasonable trade environment. At the same time, Chinese companies are also actively responding, looking for various innovations and breakthroughs to ensure that they continue to remain competitive in the global market.
On June 22, the Ministry of Commerce and the European Union officially opened consultations on the anti-subsidy investigation of electric vehicles, let us look forward to and pay close attention to the follow-up development. I hope you will leave your views and expectations on this event in the comment area.