BRUSSELS: China’s electric vehicle (EV) industry has asked the European Commission (EC) to correct its mistakes in its investigations into Chinese EVs, according to an industrial body representing the Chinese BEV makers.

Shi Yonghong, vice-president of the China Chamber of Commerce for Import and Export of Machinery and Electronic Products, which represents 12 Chinese EV makers, was here last week to engage with the EC on the issue.

“The commission made many unlawful findings in the preliminary determination, incompatible with World Trade Organisation and European Union (EU) rules,” Shi told a news conference in Brussels last Friday.

“Trade defence measures will harm all sides involved. The strength and growth of EU and Chinese EV industries lie in collaboration, not conflict.”

The EC initiated an anti-subsidy probe into Chinese BEVs on Oct 4.

On July 4, it published its preliminary determination and imposed provisional countervailing duties from 17.4% to 37.6% on Chinese EVs for four months until the final determination concludes on Nov 2.

Shi also reiterated that the investigation was initiated by the commission in the absence of a complaint from the European EV industry.

The commission has confirmed that the European EV industry is not currently in an injurious state, but subject to threat of injury in an imminent future.

Shi described such EU practice as “rare, especially in the EU”.

He cited the facts that many EU member states, the German Association of Automotive Industry and several major European EV producers such as Volkswagen and BMW have voiced their opposition to the preliminary determination.

In a non-binding vote last week on the punitive tariffs on Chinese EVs, 12 of the 27 EU member states voted in favour, four opposed while 11 states abstained.

Shi said the Chinese side is still open to and hopeful of a balanced solution to the investigation, adding that the chamber has been actively cooperating with the commission since the start of the investigation.

The chamber presented its views on the preliminary determination in a commission hearing on July 18.

The chamber will continue to defend the legitimate rights and interests of the Chinese EV industry in the investigation and also calls on the Chinese government to take necessary measures to do so.

 - China Daily