During his visit to China, Germany’s Economy Minister Robert Habeck reassured Chinese officials that the proposed European Union tariffs on Chinese goods are not meant as punishment. Instead, he emphasized that these tariffs are in response to what the EU views as excessive subsidies on Chinese-made electric vehicles (EVs).

Habeck explained that the European Commission spent nine months carefully examining whether Chinese companies received unfair advantages from subsidies. Any measures taken by the EU are not meant to punish but rather to compensate for the privileges granted to Chinese companies by the Chinese government. He emphasized that the proposed tariffs aim to level the playing field between Europe and China.

In a meeting with Zheng Shanjie, chairman of China’s National Development and Reform Commission, Habeck reiterated the EU’s intentions to address the issue of subsidies. Zheng responded by affirming China’s commitment to protect its companies. The discussions between European and Chinese officials aim to avoid escalating tensions and potential trade wars over the issue of tariffs on Chinese goods.