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Now in Europe, it's really a bit embarrassing. You see, apart from luxury goods such as cars and jewelry, what else is there in Europe? High-tech business? Internet giants? These are not very common. For example, in the mobile phone industry, how can there be big names like Huawei and Apple in Europe?
In the field of the Internet, there has never been an industry giant like Douyin and Google.
Now, Europe is significantly weaker in the economic game between China and the United States. The most important thing is that if the European auto industry suffers again, the European economy will be really dangerous. Looking at the competition of new energy vehicles, Europe is still making small moves, and it seems that it does not see that the big countries in the East are trying to save the world.
Germany has come up with a flattering proposal
In the competition of new energy vehicles, Europe, the United States and the West are still playing tricks, and Germany is really playing a fine chess game this time.
In the face of the high tariffs imposed by the United States and the European Union on Chinese electric vehicles one after another, the German Chancellor made a seemingly peaceful proposal this time.
He said that the EU can impose a uniform tariff of 15% on cars from China, and if China also charges the same high tariff on our cars, it will be fair.
Sounds reasonable, doesn't it?
But the complexity behind this plan is beyond the imagination of ordinary people. The EU is now imposing a 10 percent tariff on Chinese cars, which looks like a 5 percent increase in tariffs, which is a drop in the bucket compared to the original plan of 48.1 percent.
But don't look at the small increase in magnitude, there is a lot of work behind this.
Germany's move seems fair, but it is actually to protect its own car companies.
Why? This is because the German automotive industry has a huge share of the Chinese market, which is extremely important for German car companies.
If the EU's trade relationship with China is stiffened by high tariffs, Germany is likely to hurt the most. Therefore, the plan proposed by the German Chancellor this time can be said to be an attempt to protect German car companies from greater losses, while also leaving a buffer for the relationship between the EU and China.
However, the reaction to the proposal within the EU has been less enthusiastic.
Many people feel that this proposal is too naïve, and the 5% tariff increase will not have the desired effect, and cannot form effective competitive pressure on China's new energy vehicles in terms of price.
After all, China's electric vehicles are not only cheap, but also rapidly advancing, and this tariff does not stop the advantages of Chinese products.
In addition, the outside world has also complained about Germany's approach.
Some say that this is just a superficial gesture by Germany, but in fact does not get to the heart of the matter.
The symbolic increase in tariffs, which seems fair, does not actually affect the interests of German car companies, which is considered a typical European manoeuvre.
Of course, the German Chancellor's proposal is subject to further discussion and adjustment by both sides.
At this stage, it seems that both sides have the possibility of making concessions, but it is estimated that it will take a lot of effort to reach a consensus in the true sense.
After all, each country has its own interests to consider, and this German proposal will certainly not be approved by the EU! As for what the plan finally coordinated by the two sides will look like, I believe that the results will be available soon.
How strong are electric vehicles in China?
China's electric vehicles have caused a lot of trouble in the European auto circle in recent years. To be honest, the rise of Chinese car companies, especially in the field of new energy vehicles, has begun to shake the stable auto industry in Europe for decades.
Back then, European auto companies were firmly in the top spot in the global automotive industry by virtue of their technology and brand advantages. They have brand recognition, pricing power, and an invisible-high patent wall that keeps competitors out.
This is not only a community of interests, but also a sense of superiority that goes deep into the bone marrow - this cake is not qualified for a piece of the pie.
However, no one could have predicted that the challenge would come quietly, with unprecedented momentum and intensity. In recent years, the development of China's new energy vehicles has injected a booster, not only occupying an increasing share in the domestic market, but also reaching new highs in the international market.
By 2023, the continent has exported a staggering 681,000 vehicles to Europe, accounting for more than half of the total exports.
More remarkably, Chinese automakers are not satisfied with a purely export business, and they are actively establishing production bases in target market countries, which will undoubtedly have a profound impact on the supply chain of the global automotive industry.
Truth be told, this bold and far-sighted strategy really gives people a refreshing feeling. This revolution in the electric vehicle market, like the rise of e-commerce, has completely subverted the traditional consumption and business models.
If you look at the streets now, where are the noisy fuel motorcycles? All have been replaced by electric vehicles.
Every time I mention electric vehicles, there are always people who say that charging is inconvenient and the battery life is not good. But the reality is that technology is advancing day by day, and these problems are gradually being solved.
There are also people who are worried about the maintenance of electric vehicles, but if you think about it, there are fewer and fewer places to repair fuel vehicles.
Now, China's electric vehicles are not only selling well in the domestic market, but also exporting strong momentum, with 478,000 pure electric vehicles exported to the EU last year.
If you are the leader of the European Union, do you feel a hint of crisis?
After all, the automotive industry is one of the pillars of Europe's economy. Now that this pillar is being shaken by the emerging EV market, the entire economy could be affected.
Therefore, to a certain extent, the EU's tariffs on Chinese electric vehicles, although a bit protectionist, are also understandable.
But having said that, although there is a certain amount of friction between China and the EU in the field of new energy vehicles, this does not mean that there is no room for cooperation between the two sides.
It is not impossible for China and the EU to cooperate
There is not only competition between China and Europe, but also cooperation, especially in the field of new energy vehicles.
In today's world, China's electric vehicle industry is attracting widespread attention around the world with its rapid momentum, which is causing a sensation not only because of its rapid rise, but also because this emerging technology is truly and profoundly driving the transformation of the times.
First, let's look at this question from the perspective of Chinese investment in Europe.
Look around and you'll see that Chinese automakers are in full swing in Europe: they are building factories in Hungary, bringing SAIC to the UK to revive the once-glorious MG brand, setting up an R&D center in Germany, and establishing a European headquarters in Belgium.
These actions have not only promoted the internationalization of Chinese brands, but also really helped the European economy and created a lot of jobs. Isn't this the so-called strategy of "teaching a man to fish"?
China's approach is clearly helping the local economy move upwards together, not just making money on its own.
Let's talk about the joint venture. At present, many Chinese new energy vehicle companies have begun in-depth exchanges with European car companies, and have even negotiated some cooperation agreements.
An important reason behind this is that many European automakers do not actually support tariffs on Chinese electric vehicles. They know that cooperation is the way forward, and that a technological blockade or tariff hikes will not benefit anyone in the long run.
Undoubtedly, technology transfer has always been a topic of great concern. It is reasonable to assume that the European side expects China to open up some core technology areas, and this demand is completely understandable and recognized.
After all, scientific and technological exchanges are the key to promoting industrial development and progress.
However, we must be aware that China will not easily give away its hard-earned technological achievements to others unconditionally. In modern scientific and technological cooperation, healthy and stable returns should be based on equality and reciprocity between each other, rather than simply being in a certain aspect, which is the inevitable result.
From a broader perspective of international politics, China has undoubtedly become one of the biggest beneficiaries in an increasingly interconnected globalized society.
With the changing global economic landscape, in-depth cooperation between countries has gradually become an indispensable trend.
Under such circumstances, if China and the EU can work together, it will not only promote economic development, but also send a positive signal to the world politically.
Imagine that without China's new energy technology and production capacity, many countries around the world may continue to rely on traditional fuel vehicles, which is a huge burden on the environment and the economy.
The achievements of China's scientific and technological innovation in the field of electric vehicles have not only profoundly affected the transformation of the world's automotive industry, but also injected strong impetus into the global realization of green and sustainable development.
Furthermore, from the perspective of global climate change, it is not difficult to find that since the beginning of the new century, meteorological data in various years have revealed that extreme weather phenomena are increasing year by year.
If we can actively promote electric vehicles and reduce our over-reliance on fossil fuels, then we will have a more powerful weapon and an advantageous position in tackling the global challenge of climate warming.
In short, although there is some competition and friction between China and the EU in the field of new energy vehicles, the door to cooperation is always open. We all know that going it alone is not a long-term solution, and cooperation is the key to solving problems.
I hope that the EU can see this and work with China to promote the development of this industry, and indeed the whole world, in a better direction.
Information sources:
"When it comes to China, he gives an "unusual proposal"", Global Times