EU tariffs on Chinese EVs may lead to loss of Chinese investment

The China Chamber of Commerce for Import and Export of Machinery and Electronic Products on Friday said that by imposing anti-subsidy duties on Chinese electric vehicles (EVs), the European Union (EU) could lose Chinese investment in Europe.

Chinese enterprises expressed grave concerns over reports that the EU's identification of Chinese EVs as "subsidized" could become an excuse to launch future foreign-subsidy investigations into Chinese companies investing in Europe, the chamber said.

It noted that many Chinese auto companies had started or planned to invest or operate in Europe before the EU launched its anti-subsidy probe into Chinese EVs. But since the EU's decision to impose provisional countervailing duties, many Chinese EV enterprises have expressed concerns over the probe and the possible risks of investing in Europe.

Chinese EV companies are paying close attention to the progress of the EU anti-subsidy investigations, and will assess the risks of investing in Europe and make investment decisions accordingly, according to the chamber.

The China-EU automobile industrial chain is interdependent and has broad cooperation prospects, the chamber said, expressing hope that the EU will proceed with an open and cooperative attitude, cease the investigations as soon as possible, and support comprehensive cooperation in the China-EU auto industry.