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Experts believe that if the lawsuit actually violates the European automotive manufacturers' long-term development plan in China (Reporter Lu Huimin's intern Zhou Zhikun) EU Trade Commissioner Mandelson’s spokesperson Stephen Adams stated on the 7th that China’s auto parts import mechanism violated WTO rules, and may be sued to the WTO.
Adams said that the relevant regulations of the Chinese government made it difficult for European automakers to import auto parts through joint ventures established in China, which in turn forced them to purchase auto parts from Chinese factories. The EU headquarters has received complaints from many car manufacturers. It is reported that on November 4, Mandelson held talks with Bo Xilai, Chinese commerce minister, in Brussels. Mandelson said after the meeting that EU automakers, such as Volkswagen, French Peugeot, Fiat and other Chinese automakers, should not continue to be subject to artificial restrictions on trade. However, Bo Xilai believes that foreign car exporters have not received any differential treatment. He said that major cities in China are full of foreign cars, especially cars from Europe.
Adams said that if these methods of discriminating European manufacturers cannot be resolved through bilateral negotiations, the European Commission will submit the issue to the WTO. In addition, the CARS21 working group formed by the European Union Industry Committee Fair Hogan is paying attention to this issue. The working group is scheduled to submit a final strategy report on December 12, after which the European Commission will decide whether to submit the aforementioned issues to the WTO for review.
In an interview with the newspaper, Ding Hongxiang, general manager of the China Imported Automobile Trade Center, said that the matter may involve China’s implementation of the "Administrative Measures for the Import of Auto Parts that Constitute the Characteristics of the Vehicles," which took effect on April 1, but it has nothing to do with vehicle imports. However, he said that the claim that the European Union has filed a lawsuit against the WTO for the Chinese auto import mechanism still needs to be further confirmed by officials.
Chen Guangzu, a senior expert in China's auto parts industry, said that the question of China's auto parts import tariffs is whether it is a division within the EU or a personal opinion of a trade commissioner. Whether China's parts and components methods violate the WTO principles requires further research. It is not appropriate to comment before getting the exact confirmation. However, he said that the EU needs to cooperate extensively with China in the automotive industry. If the dispute arises over the import of components and parts, it will violate the long-term development plans of European auto manufacturers in China.
- Background On April 1st this year, the General Administration of Customs, the National Development and Reform Commission, the Ministry of Finance, and the Ministry of Commerce jointly issued the "Measures for the Administration of the Import of Auto Parts and Components That Constitute the Characteristics of the Vehicles." In order to substantially increase the independent production capacity of domestic parts and components, In order to form the imported parts and components that characterize the entire vehicle, the customs will classify the vehicles and classify the tariffs and VAT of the import link at the vehicle tax rate. Any imported assembly vehicle that has enjoyed preferential treatment on the import tariffs of parts and components will not be able to import tax in the name of spare parts and evade taxes in disguise. Such regulations will directly encourage joint ventures to increase the localization of core components and gradually reduce the dependence on imported components.