Talks between China and the EU are continuing as Brussels is set to impose tariffs in November on Chinese-made EVs.
Leaders from the European car industry have gathered in Stuttgart. CGTN’s Peter Oliver reports.
Leaders from the European car industry have gathered in Stuttgart. CGTN’s Peter Oliver reports.
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00:00The future of automotive business.
00:02The Institute for Automotive Management Summit brings together the biggest names in the European car business.
00:08The theme was looking to the future, but for many manufacturers, the automotive industry is currently facing real challenges.
00:16We are in a crisis and it's an enormous crisis.
00:19I think we have some trouble with the sales, with the supply chain structures.
00:28In the automotive industry, we have to optimize the operative business of the manufacturers and also the suppliers.
00:40Too many people produce too less cars.
00:46When it comes to electric vehicles, the main issues and concerns surround pricing.
00:52Cars manufactured in Europe are significantly more expensive than those built in China.
00:58This has prompted the EU Commission to push for tariffs as high as 45% on some Chinese EVs coming into the EU.
01:06Brussels says subsidies given to Chinese manufacturers create an unfair playing field.
01:12In response, Beijing has called the tariffs unfair and its Ministry of Commerce says the situation has seriously affected the two sides' cooperation.
01:22Representatives of European car manufacturing have been united in their message here in Stuttgart.
01:29Placing tariffs on Chinese-made EVs like these would be detrimental to the entire EU auto industry.
01:36We do oppose tariffs. We don't think that's the right measure.
01:40Because at the end of the day, this is going to be an escalating mechanism where nobody benefits.
01:47Competition at the end of the day, if it's fair and if it's free, is the benefit for consumers in terms of choice, cost, innovation and so on and so forth.
01:58So we oppose those kind of instruments.
02:01Chinese EV manufacturers attending the summit say they have long-term plans in Europe.
02:08We are here to build a long-term business in Europe, to build a successful business in Europe.
02:13I very much hope to be standing here in 10 years' time with my perfect German and telling you about how our long-term strategy was successful.
02:22And that is our goal and that's the benefit again of a Chinese company is it can take that long-term view but execute it very quickly once the decisions are made, to execute very effectively and to do so locally.
02:36The Chinese side have invited the EU to send a team to China to continue discussions to find an alternative to tariffs.
02:44As the tariff deadline looms, hope remains that a solution can be found.
02:49There are still discussions and I'm very optimistic and positive that we will get a good solution for both sides, for the Chinese towards Europe and for the Europeans towards China.
03:02Without that type of major breakthrough in the next two weeks, the new tariffs on Chinese EVs will come into effect on October 31st.
03:10Peter Oliver, CGTN, Stuttgart, Germany.