Several Chinese automakers have reportedly traveled to Beijing for discussions with regulators over allocations for hybrid vehicle exports to the European Union. The talks follow a China-EU understanding on hybrid vehicle trade announced less than one month earlier.
Cailian reported that multiple automakers are competing for shares of a limited overall quota. The report did not identify the companies, the volumes they requested, or the criteria and results of any allocation process.
According to a proposal document cited by Bloomberg, China’s hybrid export quota to the EU would be set at 350,000 vehicles in the first year and increase by 6% annually from the second year. The measures would remain in effect for four years and could begin as early as December 1. They would cover hybrid electric vehicles and plug-in hybrid electric vehicles.
The document reportedly outlined a quota mechanism covering multiple sources of EU imports to comply with the World Trade Organization’s non-discrimination principle, while exempting certain countries and territories. It did not clarify whether vehicles above the quotas could enter the EU with additional tariffs or whether the quotas would operate as hard import caps.
Chinese Commerce Minister Wang Wentao and European Commissioner for Trade and Economic Security Maros Sefcovic held talks in Beijing on October 8-9. China’s Ministry of Commerce said on October 12 that the resulting arrangement would allow growth from the 302,000 hybrid vehicles imported by the EU from China in 2025. The ministry said China’s allocation would be no lower than that of any other source of EU imports and would comply with WTO rules.
Sefcovic said on October 9 that the understanding included halving Chinese hybrid exports to the EU, without specifying the baseline. The EU imposed definitive countervailing duties on China-made battery electric vehicles in October 2024, while hybrids had previously been excluded from those duties.
Source: CnEVPost
