{"id":693819,"date":"2026-01-13T20:01:15","date_gmt":"2026-01-13T20:01:15","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/693819\/"},"modified":"2026-01-13T20:01:15","modified_gmt":"2026-01-13T20:01:15","slug":"europe-signals-a-truce-in-its-electric-vehicle-trade-war-with-china","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/693819\/","title":{"rendered":"Europe Signals a Truce in Its Electric Vehicle Trade War With China"},"content":{"rendered":"<p>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\tBy <a href=\"https:\/\/oilprice.com\/contributors\/ZeroHedge-\/\" target=\"_blank\" rel=\"noopener\">ZeroHedge <\/a> &#8211; Jan 13, 2026, 1:00 PM CST<\/p>\n<ul>&#13;<\/p>\n<li>The European Commission will allow Chinese EV exporters to propose WTO-compliant price undertakings that could substitute for existing anti-subsidy tariffs.<\/li>\n<p>&#13;<\/p>\n<li>The move follows months of negotiations and Chinese retaliation against European goods, with Beijing welcoming the shift as a sign of renewed dialogue.<\/li>\n<p>&#13;<\/p>\n<li>Analysts say the change could stabilize trade relations but may also weaken EU enforcement and deepen Europe\u2019s reliance on Chinese investment.<\/li>\n<p>&#13;\n<\/ul>\n<p>\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<img decoding=\"async\" src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2026\/01\/2026-01-13_xzwqmfa10g.jpg\" class=\"singleArticle__articleImage\" alt=\"EV\" title=\"EV\"\/><\/p>\n<p>China and the EU took a significant step Monday toward easing their long-running electric vehicle trade dispute after Brussels released rules that could allow Chinese exporters to replace punitive tariffs with negotiated pricing commitments, <a href=\"https:\/\/www.scmp.com\/economy\/global-economy\/article\/3339588\/china-eu-reach-deal-electric-vehicle-tariffs-after-lengthy-negotiations?utm_medium=email&amp;utm_source=cm&amp;utm_campaign=enlz-breaking_news&amp;utm_content=20260112&amp;tpcc=enlz-breaking_news&amp;UUID=bc049cc7426498d49950e21e49a2fb73&amp;tc=3&amp;CMCampaignID=c767da8f48f68611a36e23bdd8197165\" target=\"_blank\" rel=\"noopener\">according to the South China Morning Post<\/a>.<\/p>\n<p>The European Commission said companies may submit price undertakings that must be \u201cadequate to eliminate the injurious effects of the subsidies and provide equivalent effect to duties\u201d. Exporters are encouraged to include shipment limits and future EU investments, with assessments conducted under WTO rules. If accepted, the EU would revise its existing regulations.<\/p>\n<p>The conflict dates back to the EU\u2019s 2023 anti-subsidy probe, which resulted in 2024 duties of 7.8% to 35.3% for five years. China responded with investigations into European cognac, dairy and pork. While the tariffs technically remain, the new framework could replace them with minimum import prices.<\/p>\n<p><a href=\"https:\/\/www.amazon.com\/Roughnecks-Riches-Start-Up-American-Fracking\/dp\/B0FCDBHGSW\" class=\"charts_banner_clicked charts_banner_add_view\" data-banner_id=\"38\" target=\"_blank\" rel=\"noopener\"><img decoding=\"async\" class=\"not_lightbox\" src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2026\/01\/book.jpg\"\/><\/a><\/p>\n<p>China\u2019s Ministry of Commerce welcomed the move, saying \u201cthe progress fully reflects the spirit of dialogue and the outcomes of consultations between China and the EU.\u201d It added: \u201cIt shows that both China and the EU have the ability and willingness to properly resolve differences through dialogue and consultation under the framework of WTO rules and maintain the stability of automotive industrial and supply chains in China, the EU and the whole world,\u201d calling it \u201cconducive not only to ensuring the healthy development of China-EU economic and trade relations, but also to safeguarding the rules-based international trade order.\u201d<\/p>\n<p>SCMP <a href=\"https:\/\/www.scmp.com\/economy\/global-economy\/article\/3339588\/china-eu-reach-deal-electric-vehicle-tariffs-after-lengthy-negotiations?utm_medium=email&amp;utm_source=cm&amp;utm_campaign=enlz-breaking_news&amp;utm_content=20260112&amp;tpcc=enlz-breaking_news&amp;UUID=bc049cc7426498d49950e21e49a2fb73&amp;tc=3&amp;CMCampaignID=c767da8f48f68611a36e23bdd8197165\" target=\"_blank\" rel=\"noopener\">writes<\/a> that negotiations gained momentum after the EU began reviewing a price undertaking offer in December from Volkswagen\u2019s Chinese joint venture. Economist Alicia Garcia-Herrero of Natixis called the potential shift from tariffs to price floors a major development.<\/p>\n<p>China\u2019s chamber of commerce in the EU described the move as a \u201csoft landing\u201d and \u201ca constructive step forward for China\u2013EU trade and investment cooperation, as well as for the broader bilateral relationship\u201d, adding: \u201cThe consensus and arrangements reached will significantly strengthen business confidence, [and] create a more stable and predictable environment for Chinese electric vehicle manufacturers and related supply-chain companies investing and operating in Europe.\u201d<\/p>\n<p>Cui Hongjian of Beijing Foreign Studies University cautioned the change remains largely technical, noting that \u201cAt present, both sides are grappling with a certain lack of confidence [in each other].\u201d Garcia-Herrero warned the scheme could weaken EU trade enforcement, raise costs for European buyers, and deepen Europe\u2019s reliance on Chinese investment.<\/p>\n<p>By Zerohedge<\/p>\n<p><strong>More Top Reads From Oilprice.com<\/strong><\/p>\n<p><\/p>\n<p>\t\t\t\t\t\t\t\t\tDownload The Free Oilprice App Today<br \/>\n\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/itunes.apple.com\/in\/app\/oilprice\/id1389772617?mt=8\" target=\"_blank\" rel=\"noopener\"><img loading=\"lazy\" decoding=\"async\" alt=\"Download Oilprice.com on Apple\" style=\"height: 50px;\" width=\"169\" height=\"50\" src=\"https:\/\/d1o9e4un86hhpc.cloudfront.net\/a\/img\/cl\/app\/appstoredownload.svg\" class=\"lozad\"\/><\/a><br \/>\n\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/play.google.com\/store\/apps\/details?id=oilprice.android.app\" target=\"_blank\" rel=\"noopener\"><img loading=\"lazy\" decoding=\"async\" alt=\"Download Oilprice.com on Android\" style=\"height: 50px;\" width=\"169\" height=\"50\" class=\"lozad\" src=\"https:\/\/www.europesays.com\/uk\/wp-content\/uploads\/2025\/04\/androidbutton.png\"\/><\/a><\/p>\n<p><a href=\"https:\/\/oilprice.com\/\" target=\"_blank\" rel=\"noopener\">Back to homepage<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"By ZeroHedge &#8211; Jan 13, 2026, 1:00 PM CST &#13; The European Commission will allow Chinese EV exporters&hellip;\n","protected":false},"author":2,"featured_media":693820,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5174],"tags":[209457,1395,1305,2000,299,5187,1699,1197,209456,6914,479,26890,2151],"class_list":{"0":"post-693819","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-eu","8":"tag-automotive-supply-chains","9":"tag-china","10":"tag-electric-vehicles","11":"tag-eu","12":"tag-europe","13":"tag-european","14":"tag-european-union","15":"tag-investment","16":"tag-price-undertakings","17":"tag-subsidies","18":"tag-tariffs","19":"tag-trade-dispute","20":"tag-wto"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@uk\/115889575500030594","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/693819","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/comments?post=693819"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/posts\/693819\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media\/693820"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/media?parent=693819"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/categories?post=693819"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/uk\/wp-json\/wp\/v2\/tags?post=693819"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}