Brussels rejects China’s offer of a €30,000 minimum price for its electric cars

Brussels has rejected a proposal by the Chinese government that “Made in China” electric cars be sold for a minimum price of 30,000 euros, an offer Beijing hoped would avoid additional customs tariffs that would be imposed by the community block from next month, informs Reuters citing sources close to this file.

A month ago, the Community Executive reported that it had rejected minimum price offers from several Chinese electric car manufacturers, without disclosing what that minimum price was. The European Commission emphasized that its decision was not only motivated by the price charged by Chinese manufacturers for their electric cars, but also by the subsidies that Chinese manufacturers benefit from and to eliminate the impact of these support measures, writes Agerpres.

READ ALSO PHOTO The Chinese company Topband launches a massive investment plan in Romania after bringing in millions of dollars

A number of Chinese automakers, such as SAIC and BYD, currently sell their electric models in Europe for just over €30,000, although in the Chinese market they sell them for much less, a testament to their flexibility but also the importance of the European market for them.

The revelations about Beijing’s offer come as a deadline approaches for the parties to reach an agreement. Last week, the European Commission announced that additional tariffs of up to 45% would be imposed on electric cars made in China starting on October 31 for five years unless the two sides agree on a Plan B.

In response, China imposed anti-dumping measures on EU cognac imports on Tuesday, a decision affecting French manufacturers such as Hennessy and Remy Martin, days after the EU bloc voted to impose additional tariffs on electric car imports Chinese.

However, the European Commission has said it is willing to consider other price offers as negotiations continue. One solution could be a minimum price calculated for each automaker and each car model based on size and range, the sources revealed. One of the sources cited by Reuters said that a minimum price in the range of 35,000-40,000 euros could be a better one to consider during the talks.