The temperature of the trade relations between China and the EU has been going up, but business analyst Shaun Rein, author of r, does not expect it will be an all-out trade war, he tells CNBC. Rein expects China’s response to be “measured” as it seeks closer economic relations with Europe amid intensifying tensions with the U.S., he says.
CNBC:
Beijing will avoid escalation of its dispute with the European Union over tariffs on its electric vehicles, industry watchers said, a day after China again approached the World Trade Organization for resolution.
China’s commerce ministry said Monday that it had filed an additional appeal with the WTO over the EU’s tariffs on its EVs, as bilateral talks have yet to lead to a breakthrough.
The move is “a warning shot against Europe to show that it [China] is strong but won’t go too far,” Shaun Rein, managing director of China Market Research told CNBC, who expects China’s response to be “measured” as it seeks closer economic relations with Europe amid intensifying tensions with the U.S.
Since the tariffs came into effect last Wednesday, both sides have explored the possibility of setting minimum price commitments from Chinese car producers, as an alternative to the tariffs. The EU reportedly accounted for more than 40% of Chinese EV exports in 2023.
Shaun Rein is a speaker at the China Speakers Bureau. Do you need him at your meeting or conference? Do get in touch or fill in our speakers’ request’ form.
Do you need more political experts at the China Speakers Bureau? Do check out this list.
