BRUSSELS – China and the European Union have reached an understanding on trade in hybrid cars and agreed to continue exploring possible tariff reductions on some products, China’s commerce ministry said on Friday after two days of talks.
The ministry did not publish details of the understanding. The two sides are expected to hold another meeting by video in January and meet in person in March, according to the statement.
EU trade commissioner Maroš Šefčovič said the discussions needed to produce tangible results to rebalance trade between the 27-member bloc and China. The talks followed months of negotiations amid growing concern in Europe about the widening trade imbalance.
The dispute has included EU measures on Chinese-made electric vehicles and batteries, steel and small e-commerce parcels, while China has launched trade investigations affecting European products. Beijing has warned the EU against protectionist steps.
It remains unclear whether the latest understanding will lead to a detailed agreement or materially change the broader trade relationship. The two sides have yet to disclose the specific terms concerning hybrid vehicles or any possible tariff adjustments.
