China has threatened to retaliate against the UK if the government follows the European Union by imposing restrictions on Chinese-made electric cars.
Beijing issued the warning after Politico reported that the UK was considering working in ‘lockstep’ with the EU as it grapples with the rapid growth of Chinese manufacturers.
A spokesperson for China’s Ministry of Commerce told Politico that any move to impose restrictions on Chinese EVs would be met with a response from Beijing.
‘If the UK insists on imposing restrictions on Chinese electric vehicles, China will resolutely retaliate and safeguard the legitimate rights and interests of Chinese industries,’ the spokesperson said.
The warning comes as the UK seeks closer cooperation with Brussels on the automotive industry.
According to Politico, Britain is currently working with European partners to avoid a 10% tariff on electric vehicles from the beginning of next year, when tougher rules of origin under the UK’s post-Brexit trade agreement with the EU are due to take effect.
The government is also lobbying for Britain to be included in the EU’s ‘Made in Europe’ policies, which give products manufactured within the bloc preferential treatment for certain procurement projects, Politico reports.
The discussions come amid growing scrutiny of the increasing presence of Chinese carmakers in Europe and the UK.
UK trade minister Anas Sarwar told Politico at the German-British Business Summit in London last week that closer cooperation between Britain and the EU would benefit both sides.
‘The more that the UK and the EU work together and act in lockstep, the better it is for both the UK and the European Union,’ he said.
He added: ‘The automotive sector and partnership remain strong, but do we have to grapple with the challenge that comes from rapid expansion in China? Of course we do.’
The EU has already imposed additional tariffs on imports of Chinese-built battery electric vehicles following an investigation into subsidies provided to manufacturers in China.
Beijing is now warning Britain against following a similar path.
The Chinese Ministry of Commerce spokesperson told Politico that the UK should comply with World Trade Organization rules and consider carefully any restrictions on Chinese-made cars.
‘China urges the UK to abide by WTO rules, think carefully, and not follow the European Union,’ the spokesperson said.
‘China will closely monitor the UK’s developments.’

