SOURCE / ECONOMY
Canada’s move to levy high tariffs on Chinese EVs, steel and aluminum to damage bilateral relations: MOFCOM
Published: Aug 27, 2024 05:00 PM
Visitors get a tour of a model of an electric vehicle charging system at the 2024 Beijing International Charging Pile and Battery Swap Station Exhibition on August 14, 2024. Photo: VCG

Visitors get a tour of a model of an electric vehicle charging system at the 2024 Beijing International Charging Pile and Battery Swap Station Exhibition on August 14, 2024. Photo: VCG



China's Ministry of Commerce (MOFCOM) on Tuesday slammed Canada's move to impose additional tariffs on imports of Chinese electric vehicles (EVs), saying the move is typical trade protectionism, while urging Canada to immediately correct the wrong action.

A MOFCOM spokesperson criticized Canada for disregarding facts and the WTO rules, as well as solemn representations and firm opposition from China and repeated dissuasion from multiple parties to insist on imposing high tariffs on Chinese EVs. 

The MOFCOM expressed strong dissatisfaction and firm opposition against the Canadian government's action.

China has repeatedly stressed that the development of Chinese EV industry is the result of its own comparative advantages and the country's open market competition. Chinese EVs are popular among global consumers, including Canadian consumers, which could make genuine contribution to controlling global climate change and help green transition, the spokesperson said.

Claiming that it supports free trade and the WTO-based multilateral trade system, Canada has blatantly violated the WTO rules to blindly follow other countries to impose unilateral tariffs. This is typical trade protectionism, the MOFCOM spokesperson said.

Canada's action will disrupt the stability of global industry and supply chains, severely harm the rules underpinning the global trade system, and deal a blow to China-Canada economic and trade relations. The tariffs will harm the interests of companies from both countries, impact the interests of Canadian consumers and harm Canada's efforts to boost green transition and mitigate climate change, the spokesperson said.

"China will take all necessary measures to safeguard the legitimate rights and interests of Chinese enterprises," the spokesperson said.

The Chinese Foreign Ministry also condemned Canada's unreasonable action on Tuesday. "Subsidies will not build a country's industrial competitiveness. Protectionism only protects backwardness but costs the future," Lin Jian, a spokesperson for the Chinese Foreign Ministry, said at a regular press conference on Tuesday.

Canadian Prime Minister Justin Trudeau announced on Monday that the country will raise import taxes on Chinese-made EVs from 6.1 percent to 106.1 percent on October 1, the Xinhua News Agency reported. Tariffs on Chinese-made steel and aluminum products will increase to 25 percent starting October 15.