China and the EU agree steps to address dispute over EV imports

China and the EU said they agreed on steps toward resolving a dispute over Chinese-made electric vehicle imports; the EU will issue guidance on minimum import prices and the European Commission will assess offers under World Trade Organization rules.

China and the European Union announced they have agreed on steps to address a dispute over the bloc's imports of Chinese-made electric vehicles. Beijing's Commerce Ministry said the EU will issue guidance on minimum pricing for Chinese auto exporters. The EU released a guidance document with instructions for making price offers and said the European Commission will assess each offer in line with World Trade Organization rules. The talks follow tariffs imposed by the EU in 2024 after an investigation into alleged unfair subsidies. Known details: - China’s Commerce Ministry issued a statement saying the EU would provide guidance on minimum pricing for Chinese EV exporters. - The EU’s guidance document instructs EV makers on making price offers, including setting minimum import prices appropriate to address alleged subsidization effects. - The European Commission said it will assess each offer objectively and fairly, following non-discrimination principles and WTO rules. - The EU imposed tariffs up to 35.3% on Chinese EV imports in 2024 after an investigation; the United States enacted a 100% tariff on China-made electric cars in 2024. - The value of battery-powered cars imported to Europe rose from $1.6 billion in 2020 to $11.5 billion in 2023, and China-manufactured cars made up about 6% of EU sales in the first half of 2025, up from 5% in the same period of 2024. - The article notes many imports included models from Western automakers with factories in China, citing Tesla and BMW as examples. Summary: The announced steps establish a process for pricing offers and reviews that could allow some Chinese-made EVs to enter EU markets under specified minimum prices. The European Commission will evaluate individual offers under WTO-aligned, non-discriminatory procedures. Whether the 2024 EU tariffs will be lifted or changed was not directly addressed. Undetermined at this time.