Do you have questions about the biggest topics and trends from around the world? Get the answers with SCMP Knowledge , our new platform of curated content with explainers, FAQs, analyses and infographics brought to you by our award-winning team. He complained about Chinese, German and American car companies taking the European Commission to court last October over its imposition of anti-subsidy duties on Chinese-made electric vehicles.
Sefcovic warned Chinese car companies thinking of setting up factories in Europe that the investments would have to be legitimate if they were to avoid tariffs. Are these investments building new production lines?
While the proposal is likely to face opposition from member states keen to attract Chinese capital, it would β if adopted β see the investments scrutinised for economic and national security risks.
It remains to be seen how much common ground on China can be forged with Trump, who has pledged to slap tariffs on European products and railed against the trade surplus the EU holds over Washington. He has also threatened to annex Greenland , a self-governing territory of EU member Denmark , in escalatory statements that have sent Europe into a political tizz.
Diplomatic sources have hinted that the bloc is divided on whether they should partner with Trump when he clearly shows such disdain for Europe and its interests. The sources point to efforts to work with the Republican on China issues during his first presidential term that were quickly rebuffed. Should the negotiations fail, however, the EU has prepared a suite of tariffs that are likely to target politically sensitive pockets of the US economy, it has been reported.
