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cross-posted from: https://feddit.org/post/3451147
European Union countries failed to agree on whether to slap China-made electric vehicles (EVs) with steeper tariffs during a closely watched vote that ended with too many abstentions, forcing the European Commission to overcome the political impasse and push its proposal over the finish line.
The outcome of Friday’s vote was not publicly available, although several diplomats told Euronews how each member state positioned itself:
- 10 were in favour: Bulgaria, Denmark, Estonia, France, Ireland, Italy, Lithuania, Latvia, the Netherlands and Poland. (45.99% of the EU population)
- 12 abstained: Belgium, the Czech Republic, Greece, Spain, Croatia, Cyprus, Luxembourg, Austria, Portugal, Romania, Sweden and Finland. (31.36%)
- Five were against: Germany, Hungary, Malta, Slovenia and Slovakia. (22.65%)
The high number of abstentions reflects long-standing qualms about how Europe should stand up to China. Although the political consensus says that Beijing’s unfair trade practices merit a forceful, united response, threats of commercial retaliation appear to have dampened the resolve of many capitals as the make-or-break date neared closer.
It was up to the Commission, which has exclusive powers to set the bloc’s commercial policy, to break the gridlock and ensure the duties go through.
A few days ago I saw an interview with an EU official (I don’t remember who) which gave interesting insight.
They pointed out that they’re talking with China about these tariffs, that they’re taking a proof-based approach on them, reasoning and justifying with evidence of unfair subsidies, and that China has accepted such tariffs in the past for other things.
Collecting and discussing evidence obviously takes more time. But it defuses the “I put tariffs on you” -> “then I put tariffs on you” into a “these unjust subsidies were in place so we have to add these tariffs” -> “I don’t like it but I see”.
I wonder how those talks turned out, given that the tariffs have now been set. I guess I will hear from China if they object.