In the European-Chinese trade dispute over electric cars, Volkswagen boss Oliver Blume is calling for an understanding. This could also mean that Chinese companies have electric cars produced in Germany, Blume told “Bild am Sonntag” according to a previously published interview. The EU accuses China of discriminating against European manufacturers by subsidizing its own electric cars. The EU Commission had obtained support for punitive tariffs in a vote from its member states, but first wants to continue negotiations with China.
Germany voted against punitive tariffs, representing the position of German car manufacturers who fear Chinese retaliation. China called for the imposition of tariffs to be postponed. Instead of punitive tariffs, it should be about “taking investments into account positively for both sides,” said the Volkswagen boss. “Anyone who invests, creates jobs, and works with local companies should have advantages when it comes to tariffs.” When asked whether Chinese manufacturers should have electric cars produced in Germany without punitive tariffs if they create jobs, Blume replied: “Yes, that would be an approach. That would not only be for companies from China, but also from other regions those who invest in Europe and thus have a positive impact on the economy.”
“Possible punitive tariffs would be particularly risky for the German automotive industry,” said Blume, referring to the extensive exports of German car manufacturers to China. “Many jobs in Germany depend on it. Instead of provoking a backlash in China with punitive tariffs, a regulation that is fair for both sides should be found.” It is important that the federal government continues to take a clear position against tariffs in the EU.