Chinese automakers have called on Beijing to hit European Union rivals with import duties of up to 25% if the trading bloc imposes tariffs on vehicles originating from China, the country’s state media reported.
The demand would have been made at a closed-door meeting organized by the Chinese Ministry of Commerce, which was also attended by representatives of European automobile companies.
The measures would target EU cars with large gasoline engines.
Last week, the EU threatened Chinese electric vehicle (EV) manufacturers with tariffs up to 38% from July 4th.
The meeting in Beijing was attended by four Chinese and six European car companies, according to an article published by a social media account affiliated with state broadcaster CCTV.
German car giant Volkswagen confirmed to the BBC that it was present at the meeting, but declined to comment on what was discussed.
Other European companies expected to be present, including BMW and Porsche, did not immediately respond to the BBC’s requests for comment.
“Chinese automakers called on the government to take firm countermeasures against the EU,” the report states.
“It is suggested that, within the limits permitted by World Trade Organization rules, a higher provisional tariff be imposed on large-displacement gasoline vehicles imported from Europe.”
The reports echo an article published last month by the state-run Global Times newspaper, which said 25% tariffs should be applied to cars with gasoline engines larger than 2.5 liters.
The measure would target “luxury or ultra-luxury” vehicles, meaning “an additional tax probably won’t make much of a difference to volumes,” Bill Russo of consultancy firm Automobility told the BBC.
The European Commission (EC), which governs the EU, announced last week that it had “provisionally concluded” that Chinese EV manufacturers will face tariffs “if discussions with Chinese authorities do not lead to an effective solution.”
Companies that cooperated with the investigation, launched in October, will face an average rate of 21%, while those that did not could face a rate of 38.1%.
These charges would be in addition to the current 10% tariff levied on all electric cars produced in China.
EU intervention comes after the US took the much bolder decision to increase the tariff on Chinese electric cars from 25% to 100% last month.
The Chinese government denounced the decisions as protectionism and has since begun taking retaliatory measures.
Earlier this week, China launched an investigation into imports of European pork products.
Last month, Beijing signaled a similar move by launching a investigation into imports of chemicals from the EU and the US.
