Europe Strikes China With A New Economic Strategy

The real reason Europe is going after China

In July, when the EU imposed tariffs on electric vehicles made in China, the world was not sure what to make of it. While it was clear the relationship between Brussels and Beijing was rocky, the Europeans introducing a second layer of tariffs on Chinese EVs, raising the levy to almost 50% on some imports, was a dramatic move.

It all but guaranteed to permanently alter the EU-China relationship and not for the better.

Now, the tariffs unveiled in July, which were provisional, meaning there was a short window for negotiations between EU states, including with Chinese automakers, have become formal law. On October 4, the EU voted in favor of the tariffs. However, it was not a clear-cut vote. The European Commission, the executive branch of the EU, had to intervene, as the voting resulted in no verdict. Of the 27 EU members, ten voted in favor of the tariffs, five rejected them, and 12 countries abstained.