Source: Bloomberg
After the European Union announced an additional tariff on Chinese electric vehicles, China may take limited and targeted revenge on the EU; Beijing is worried that it may be counterproductive if a strong response is adopted.
The European Union will start to impose additional tariffs on imported electric vehicles next month, with a new tax rate of up to 48%. Under the surge in imports from China, the United States, Turkey and other countries have taken action limits.After the news was announced on Wednesday, the Chinese Ministry of Commerce and the European Union Chamber of Commerce criticized the measures of Brussels.
Although retaliation may help prevent further trade protection actions from all over the world, the risk faced by Beijing is that the reflection will encourage cross -Grand Ocean to further form alliances and counter China."Act.
Joe Peissel, an economic analyst at research company Trivium China, said that if China responds to radical tariffs, it may cause a trade war.He said Beijing urgently hopes to avoid this.
Merics, a research institution, focusing on China, is based on Berlin, and China's retaliation will be concentrated on agricultural products such as cheese and pork.After the European Union launched an anti -dumping investigation on electric vehicles, Beijing launched an investigation of Bailan Land, which is native to the European Union.France, who had put pressure on Brussels and asked to take action against Chinese electric vehicles, was the main exporter of Bailan.
China may consider raising the tentative tariffs to a maximum of 25%of the imported vehicles equipped with large -scale engines, but it will only affect a small part of German car companies sold in China.
Merics chief analyst, Jacob Gunter, wrote in a report on Thursday that Beijing will not take the still needed EU products that still need.He said these products include machinery, chemicals and medical technology products.
