Member states are voting today on whether to impose definitive tariffs on electric vehicles from China for a period of five years, following an investigation launched by the European Commission in October 2023.
In this context, Fernando de Góngora, representative of China EV100 in the country, recommends that Spain explore other strategies before embarking on a trade war with the Asian country.
“In a global context where Asia has gained ground as a leader in the electrification of transport, Spain can offer something different, especially due to its capacity for innovation and its position in the European market,” he says.
What are the keys? Consolidating the industries where it already has a solid track record.
First of all, within the EU context, it is a power in the automotive sector after Germany.
“Although the decision-making centres of the OEMs, the car manufacturers, are not located in Spain, the country remains a strategic node in the value chain of vehicle production,” he states in an interview with Mobility Portal.
And not only that.
Secondly, its significant role in the components sector stands out.
According to de Góngora, this is one of the strengths of the Spanish economy, with companies that have attractive technologies that are already present in the Chinese market and “could benefit from collaboration agreements.”
What’s next in third place?
“Spain stands out in renewables in the European context, especially in solar energy, although it also has a strong presence in the wind sector,” he says.
This is no small feat, given that as the electrification of transport progresses, so does the demand for clean energy.
In this context, the battery market, both for energy storage and for vehicles, represents another advantage for national companies.
“These are the key factors that companies must put on the table as added value to attract investments,” emphasizes the representative of China EV100.
“A trade conflict with China does not benefit Spain”
On June 12, the European Commission notified Chinese electric car manufacturers of the results of its anti-subsidy investigation launched in October 2023.
The 10 per cent punitive tariffs were joined by new ones ranging from 17.4 to 38.1 per cent, applicable from the beginning of July for an initial period of four months.
The final decision now lies with the Member States, who vote today.
“Spain was initially in favour of tariffs, but the recent visit of the Prime Minister to China indicates a change of position,” says de Góngora.
He adds: “The scenario of a trade conflict does not benefit Europe, and even less so Spain, which has sectors such as pork that are highly dependent on the Asian market.”
Countries such as Germany have also expressed their opposition to the tariffs, aware of the repercussions this would have on their industries, especially in the automotive sector.
So how else can Spanish companies differentiate themselves from the Chinese advance?
According to the expert, the key lies in reducing regulations and promoting innovation and competitiveness.
China EV100’s interest in Spain
To put it in context, “China EV100 is the AEDIVE of the Asian country”, that is, the association that represents all the companies in the sector and establishes connections between them.
Fernando de Góngora’s role in the organization is to build bridges between the Chinese and national markets, with a special focus on electric mobility.
“It’s a much larger platform than any Western equivalent,” he says.
This has a great interest in foreign industries, and Spain, with its experience in automotive, components, among others, offers a particular attraction.
Internationalization is a crucial aspect for China EV100.
The association is supporting the sector in its expansion into Western countries, a process in which cultural and commercial differences play a decisive role.
“They need points of connection and support, and this is where associations such as AEDIVE in Spain can serve as a bridge,” he explains.
