China Launches Probe into EU Trade Practices Amid Rising Tensions

China Launches Probe into EU Trade Practices Amid Rising Tensions

“The Ministry of Commerce will conduct a trade and investment barrier investigation into the relevant practices adopted by the EU in its investigation of Chinese enterprises,” the ministry said in a note on its website.

It said it had decided to launch the probe following a complaint made by the National Chamber of Commerce for importing and exporting machinery and electronics.

The complaint mainly dealt with “products such as railway locomotives, photovoltaics, wind power, and security inspection equipment”, according to the ministry.

It added the probe will likely last until January 10, 2025, but may be extended by a further three months under “special circumstances”.

Trade tensions between China and the EU have spiraled in recent months, with Brussels aiming for Beijing’s support for its electric-vehicle and renewables sectors in particular.

Last year, the bloc’s executive arm concluded in an investigation that Chinese state subsidies for its EV industry were unfairly undermining European rivals.

That prompted Brussels to slap extra provisional duties of up to 38 percent on Chinese EV imports last week, despite an outcry from manufacturers and Chinese business groups.

Beijing has warned the move could spark a trade war and has repeatedly threatened to respond with “necessary measures” that safeguard its companies’ legal rights and interests.