China Demands Scrapping of EU Tariffs on Electric Vehicles By July 4

Beijing has called on the European Union to scrap its preliminary tariffs on Chinese electric vehicles by July 4, China's state-controlled Global Times reported, after an agreement by both sides to hold new trade talks.

Provisional EU duties of up to 38.1% on imported Chinese-made EVs are set to kick in by July 4 while the bloc investigates what the EU claims were excessive and unfair subsidies to Chinese EV makers.

China has repeatedly called on the EU to cancel its tariffs, expressing a willingness to negotiate. 

However, Beijing does not want to be embroiled in another tariff war, still stung by U.S. tariffs on its goods imposed by the Donald Trump administration, but says it would take all steps to protect Chinese firms should one happen.

Both sides agreed to restart tariff talks after a call between EU Commissioner Valdis Dombrovskis and Chinese Commerce Minister Wang Wentao on Saturday during a visit to China by Germany's economy minister, who said the doors for discussion were "open".

The best outcome of the talks is that the EU scraps its tariff decision before July 4, Global Times reported late on Sunday, citing observers.

The tariffs are set to be finalised on November 2 at the end of the EU anti-subsidy investigation.

The Chinese commerce ministry did not immediately comment on the issue according to a Reuters report.