EU and China resume talks on an EV floor price to replace EU tariffs

China’s Ministry of Commerce said negotiations with the European Union on a minimum price for Chinese electric vehicles have resumed. The dialogue has been under way for several days and will continue next week. Beijing aims to replace the EU’s countervailing duties—introduced in October 2024 and reaching up to 45.3% for some Chinese manufacturers—with a price-floor arrangement.

Brussels began an investigation into Chinese carmakers on suspicions of unfair subsidies and a risk of dumping in the EU market. The Chinese side argues the issue lies not in subsidies but in a more competitive cost base and a technological advantage, and is urging price parity instead of tariffs. In practice, a floor-price deal would trade blunt border taxes for a clearer pricing framework—an approach that could cool tensions while giving regulators reassurance and leaving space for real competition.