Europe Automakers Fear EU-China Trade War Might Affect Auto Sales image

Auto industry in Europe fears that China will decide to apply retaliatory trade duties on luxury vehicles imported from the EU.

If the EU Commission will not stop accusing China over unfair trade practices towards Europe, automakers on the Old Continent fear that the Asian country might impose retaliatory trade duties on luxury vehicles.

“If there is not an improvement in the political climate, if it becomes a real trade war (…) if that is going to be the position and the strategy of the EU, then I think the Chinese will retaliate for sure,” said a spokesperson for the European auto industry association ACEA .

The ACEA said that an anonymous person filed an anti-dumping complaint at China’s Ministry of Commerce regarding the vehicles with engine displacements of at least 2 liters manufactured in the EU for China. Preliminary investigations are expected to begin next month at the latest.

Les Echos newspaper reported that the Chinese government has more to bring on the table in this dispute with Brussels, which started the tensions with its move against the solar panels coming from China. The Chinese authorities could not be reached for comments, but both nations previously said that they will try to solve the dispute through talks.

Source: finance.yahoo.com