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EU Details Path for Chinese EV Makers to Seek Tariff Relief via Model-Specific Price Floors

Brussels will judge company offers under strict WTO-based tests, with existing 2024 duties still in force.

Overview

  • The European Commission published guidance enabling Chinese exporters to submit price undertaking offers that, if accepted, could replace or reduce countervailing duties set in October 2024 at 7.8%–35.3%.
  • Minimum import prices must be defined for each model and configuration at levels that remove the injurious effects of subsidisation, rejecting any blanket price floor.
  • Each offer will be assessed case by case under WTO rules, with any acceptance requiring an Implementing Decision and approval by EU member states.
  • The guidance targets risks such as cross-compensation and complex sales channels, and says time‑limited undertakings or annual volume commitments can strengthen compliance and monitoring.
  • Defined EU investment pledges can bolster offers, and failure to meet such commitments could trigger withdrawal of an undertaking and retroactive collection of duties; China’s commerce ministry and industry groups welcomed the step as a “soft landing,” and a Volkswagen/Cupra proposal is under review.