The Ministry of Commerce Photo: VCG
China on Monday again warned the EU not to conduct separate negotiations with certain Chinese firms over the price commitment of Chinese electric vehicles (EVs) sold in the EU market, and said it will undermine the mutual trust and disturb negotiation process, urging the EU to adhere to the existing framework, and accelerate talks to achieve substantive progress at an early date.
Separate price commitment negotiations with individual Chinese EV makers risk undermining mutual trust between China and the EU, and will disrupt the negotiation process as the EU conducts general negotiations with China concerning EVs, a spokesperson with China's Ministry of Commerce (MOFCOM) said on Monday.
Moreover, it will increase administrative costs in follow-up implementation and supervision of price commitment agreements, the MOFCOM spokesperson noted.
The EU side noted that, in accordance with WTO rules, the possibility to offer price undertakings is open to different companies involved in its investigation and therefore the European Commission (EC)'s negotiations with the China Chamber of Commerce for Import and Export of Machinery and Electronic Products (CCCME) do not exclude discussions with individual exporters, read a statement seen on the EC website on Friday.
By conducting separate negotiations with individual Chinese automakers, the EC may aim to divide Chinese EV manufacturers one by one and reduce China's overall capability to negotiate, Jian Junbo, deputy director of the Center for China-Europe Relations at Fudan University's Institute of International Studies, told the Global Times on Monday.
It underscores that the EC lacks sincerity in accelerating negotiations with the Chinese side, Jian said.
During a talk held via video link on Friday between China's Commerce Minister Wang Wentao and European Commission Executive Vice President and Trade Commissioner Valdis Dombrovskis, China made it clear that the CCCME has been fully authorized by different types of Chinese companies to put forward a price commitment plan that represents the overall position of the industry, according to a statement seen on the website of the MOFCOM.
On this basis, China and the EU have conducted rounds of negotiations with strenuous efforts, and have made some progress, the MOFCOM spokesperson said.
China and the EU have launched the next phase of negotiations. China hopes that the two sides will adhere to the existing framework and accelerate the negotiation process based on previous consultations so as to make substantial progress at an early date, the spokesperson said.
