A trade war does more harm than good to both sides. Which is why China has always advocated the use of dialogue and negotiation to resolve economic and trade disputes. However, China is unshakable in its determination to safeguard its rights and interests and those of its enterprises, and will resolutely take countermeasures against those who persist in going down the wrong road.
The Ministry of Commerce announced on Tuesday that it will impose temporary antidumping measures on brandy originating from the European Union while conducting antidumping investigations into certain pork and pig by-products imported from the EU and an antisubsidy probe into certain dairy products imported from the EU. China is also exploring the possibility of increasing tariffs on imported fuel-powered cars with large-displacement engines.
All these moves came days after a sufficient number of EU member states voted to impose additional tariffs of up to 35.3 percent on top of the existing 10 percent levy on electric vehicles made in China.
Trade relations between China and the EU have remained strained since the European Commission proposed higher tariffs on Chinese-made EVs in October last year. While France claims this will allow the EU to maintain “more independent and stronger economic and strategic autonomy”, many industries in France, particularly the alcohol industry, disagree. Shares of French spirits producers took a hit after the ministry’s announcement, with Remy Cointreau shares falling more than 8 percent.
China and the EU are mutually beneficial trading partners. China has always regarded the trade relationship with the EU as the basis for win-win cooperation between the two sides.
Unilaterally imposing tariffs won’t solve any problems, and whether China-EU trade relations can be turned around depends entirely on the EU. The bloc should avoid politicizing its economic and trade relations with China, and explore all possible avenues before the situation reaches a point of no return.