Chinese automakers SAIC and Geely have “never” had private tariff negotiations with the European Commission over the prices of their China-made electric vehicles sold in the region, according to statements provided by the companies to Chinese media outlets on Thursday. Rather, they have “always” been working on the matter with the China Chamber of Commerce for Import and Export of Machinery and Electronic Products (CCCME), a government-backed industry group authorized by multiple automakers to proceed with negotiations (quotes translated by TechNode).
The news comes after China’s Ministry of Commerce on Oct. 12 publicly criticized (in Chinese) the European Union for conducting separate price commitment negotiations with some companies, warning that this could “shake the foundations” of bilateral tariff negotiations. According to a document published by the European Commission on Tuesday, SAIC, Smart (an EV brand jointly owned by Mercedes-Benz and Geely), and Geely-owned Volvo submitted alternative price commitment proposals in case an overall plan offered by CCCME was not accepted in Europe.
State-owned SAIC, a long-time partner of Volkswagen and General Motors, also announced that it was filing a lawsuit at the European Union’s Court of Justice after the additional EU tariffs ranging from 7.8% for Tesla to 35.3% for SAIC took effect on Wednesday, Reuters has reported. China stated it does not agree with or accept the ruling, saying it will continue the ongoing negotiations with its European counterpart to establish a price floor on Chinese EVs. The consultations started in mid-September after China’s commerce minister Wang Wentao and EU trade commissioner Valdis Dombrovskis held talks in Brussels.