China announced on Friday that its anti-dumping investigation into European brandy imports is moving to the next stage, coinciding with the day when the European Commission's temporary tariffs on Chinese-made electric vehicles took effect, further escalating tensions between the two sides.
At a press conference on Thursday, a spokesperson for the Ministry of Commerce emphasized that before the EU confirms tariffs of up to 37.6% on Chinese-made electric vehicles, Brussels and Beijing should continue to resolve issues at the negotiating table. However, mentioning another investigation into EU pork imports raised the prospect of potential retaliation from China.
The Ministry of Commerce stated on Friday that a hearing would be held on July 18 to discuss the ongoing investigation into accusations that European brandy producers are selling at below market prices in China.
China has repeatedly urged the EU to eliminate its electric vehicle tariffs and has expressed willingness to negotiate. China has stated that it does not want to be involved in another tariff war, especially with ongoing US tariffs affecting its goods, but it will take all necessary measures to protect its domestic enterprises.
Intensive negotiations are expected during the four-month period of the temporary tariffs, with Beijing threatening to take extensive retaliatory measures.
Since January this year, Beijing has launched tit-for-tat investigations into European brandy and pork imports, mainly targeting business interests in France, Spain, the Netherlands, and Denmark, while the 27 EU member states remain undecided on whether to support the European Commission in the upcoming vote on electric vehicle tariffs.
Additionally, the state-backed Global Times reported that officials are considering an anti-subsidy investigation into European dairy imports and imposing tariffs on large displacement gasoline cars made in Europe.
