The landing of Chinese brands in European markets is unstoppable. Now, to try to alleviate its effects, the European Commission will open an investigation into aid for electric models from the Asian country.
Given this, the Spanish Association of Automobile and Truck Manufacturers (Anfac) has indicated that You cannot give your opinion “because you do not know any information” and they describe it as “a procedure like many others” carried out by the Community Executive.
Anfac has shown that defends free competition within the legal framework. “Wherever a merchandise comes from, as long as all transactions are carried out within the framework of current legislation in international trade,” he highlighted.
In the same way, defends a “strong” industrial policy that encourages the production and manufacturing of electric vehicles both in Spain and at the community level. In addition to getting new investments. “All of this in a manner compatible with free trade and competition regulations,” they stressed.
Likewise, the association wanted to remember that the automotive sector represents more than 18,000 million of positive trade balance for the Spanish economy each year.
The US stopped subsidizing Chinese electricity companies last year
The European Union follows the same path as the United States in relation to the arrival of electric vehicles manufactured in China. Just a year ago, the United States Senate passed the Inflation Reduction Act. This project contemplated aid of 7,500 dollars (6,983 euros at the current exchange rate) per vehicle for the purchase of new electric models, while the aid for used ones amounted to 4,000 dollars (3,724 euros).
Now, in order to qualify for public subsidies, Vehicles must be manufactured in North America And starting this year, models with batteries that have Chinese components will also not be able to receive aid.
In this sense, the European Union has not been so radical. For the moment, the president of the European Commission, Ursula von der Leyen, announced that “the Commission is going to launch an anti-subsidy investigation into electric vehicles from China.”
Likewise, the German company pointed out that the markets are “flooded with cheaper and more Chinese electric cars.” “its price is kept artificially low thanks to huge state subsidies”. Furthermore, he pointed out that “Europe is open to competition. Not to a race to the bottom”, in relation to Chinese aid to production which, he assured, distorts competition in the single market.