China steps up warning to EU just days before tariff decision

China accused the European Union of working to “suppress” Chinese companies and said Beijing will take action to safeguard its interests, as the bloc moves closer to imposing tariffs on Chinese electric vehicles.

Beijing wants to deal with economic and trade frictions through dialogue, and avoid an uncontrolled escalation, Commerce Minister Wang Wentao said at a meeting with Chinese businesses in Spain on Saturday, according to an official statement. 

He added that the leaders of France, Germany and the EU have stated that they wish to avoid a trade war. 

“If the EU does not practice what it preaches and continues to suppress Chinese companies, China will take all necessary measures to firmly safeguard the legitimate interests of Chinese companies,” according to the statement.

The EU has opened a barrage of trade probes against Beijing on the grounds of anti-dumping and unfair subsidies, especially in the clean-technology sector. The bloc must inform Chinese EV exporters whether it intends to impose tariffs — and how high they would be — by early June, and they could go into effect a month later.

China has already launched an anti-dumping probe into European brandy — a move clearly targeting French cognacs. State media also signaled it could retaliate against European cars and pork.

Wang said the EU has used overcapacity, unfair competition and “other false narratives” to launch investigations into Chinese EVs, railway, solar, medical equipment and other sectors, increasing the risk of China-EU frictions.

He urged the EU to abandon protectionism and seek dialogue and cooperation instead, according to a separate statement following his visit to a planned Chinese car factory in Spain on Sunday.