China Asks It's Automakers To Pause Expansion Plans In Europe

The Chinese government has reportedly asked local automakers to pause expansion plans in Europe due to the European Union’s import tariffs on electric vehicles (EVs) from China. 

 

According to people familiar with the matter, the Chinese government told local automakers to pause active searches for production sites in Europe and the signing of new deals in the region. Chinese automakers were also told to keep a low profile while the government negotiates with the European Union over its tariffs on EV imports made in China. 

 

Bloomberg reports that the Chinese government’s advice to local automakers is not a mandatory order. However, it may increase the tension between China and Europe.