A visitor (R) study a new energy vehicle during the 2024 Beijing International Automotive Exhibition in Beijing, capital of China, May 4, 2024. Photo: Xinhua

Following EU's latest move to impose provisional tariffs on imported Chinese electric vehicles (EVs), Chinese automaker SAIC Motor Corp said on Friday it will formally demand the European Commission (EC) hold a hearing on the tariffs as the company seeks to further exercise its right of defense for safeguarding its own legitimate rights and interests as well as the benefits of its global clients.

In its pre-disclosure published on June 12, the EC, the executive body of the EU, announced its intention to impose provisional tariffs as high as 38.1 percent on SAIC Motor. The company submitted defense in response to calculation error in the pre-disclosure document, SAIC Motor said in a statement published on Chinese social media Sina Weibo on Friday.

The EC revised down the additional tariffs faced by SAIC Motor to 37.6 percent on Thursday. But the company said it will continue on the right of defense in line with laws.

SAIC Motor said the EC's anti-subsidy probe involves commercially sensitive information that exceeds the scope of normal investigation, for example, asking Chinese companies to provide chemical formula for their car batteries.

In addition, there is mistake with the EC's recognition of subsidies, for example, the EC includes the purchase subsidy Chinese government grants to domestic consumers to the calculation of subsidy rate for Chinese EVs sold in the EU, according to the company.

SAIC Motor said the EC has neglected partial information and defense opinion it submitted during investigation, and then exaggerated subsidy rate for multiple parts by claiming that Chinese companies failed to cooperate with the EC's investigation.

SAIC Motor said it opposes purposely-set trade barriers in the new-energy vehicle sector and calls for fair competition. The company attributed the popularity of its MG brand in Europe to its core technological competitiveness globally, saying that it has developed internationally leading technologies due to heavy investment over the past 10 years.

Only through talks and cooperation can both China and the EU advance innovations to jointly develop green and low-carbon economy, the company stressed.

Global Times