Wang Wentao, China’s commerce minister, will travel to France in April for discussions about the European Commission’s investigation into whether China’s electric vehicle industry has benefited from unfair subsidies, a French government source and two other people with knowledge of the trip told Reuters.
However, France’s trade ministry and China’s Ministry of Commerce did not immediately respond to requests for comment.
It’s worth remembering that the Commission has begun an investigation to determine whether to impose tariffs on exports to protect European car makers.
It is due to conclude by November, although the EU executive could impose provisional duties earlier.
The Commission has said China’s share of EVs sold in Europe could reach 15 per cent of the market in 2025, based on their price discount compared with battery-powered cars made in Europe.
China has contested the claim that its EV industry has boomed because of subsidies and called the EU inquiry “protectionist“.
Analysts say factors, including China’s dominance of the battery supply chain, innovation and cut-throat competition in a crowded domestic market have also reduced prices.
European Commission investigators inspected Chinese automakers earlier this year as part of their inquiries.
Those inspections targeted market-leader BYD, Geely, and SAIC.
That’s why, on his trip to France, Wentao would be accompanied by representatives from these firms.
The four people Reuters spoke to declined to be identified as details of the trip are confidential. Further details about the trip were not known.
BYD, SAIC and Geely did not immediately respond to requests for comment.
Wang will also attend a China-Italy business forum in Verona on April 12, alongside the country’s
EU-China trade tensions more broadly are also expected to be debated when Chinese President Xi Jinping is scheduled to visit his French counterpart in May.
