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100% EV tariff has China accusing Canada of protectionism

Chinese electric vehicles have yet to gain foothold in Canada, but is in the process of trying
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FILE - Visitors look at a Geely Galaxy E8 EV car model during the Auto China 2024 in Beijing on April 28, 2024. (AP Photo/Andy Wong, File)

China on Tuesday accused Canada of protectionism after Prime Minister Justin TrudeauB次元官网网址檚 government on imports of , matching U.S. duties on Chinese-made EVs.

The Chinese Commerce Ministry said in a statement the tariffs would disrupt the stability of global industrial and supply chains, severely impact China-Canada economic and trade ties and damage the interests of enterprises in both countries.

B次元官网网址淐hina is strongly dissatisfied and firmly opposes this,B次元官网网址 the statement read.

B次元官网网址淐anada claims it supports free trade and the multilateral trading system based on (World Trade Organization) rules, but it blatantly violated WTO rules and announced it will take unilateral tariff measures by blindly following individual countries. It is typical trade protectionism,B次元官网网址 it added.

The ministry urged Canada to B次元官网网址渋mmediately correct its wrong practicesB次元官网网址 and said that Beijing would take any necessary measures to defend the rights and interests of Chinese companies.

CanadaB次元官网网址檚 announcement came after encouragement by U.S. national security adviser Jake Sullivan during a meeting with Trudeau and Cabinet ministers on Sunday. Sullivan on Tuesday.

Chinese officials are likely to raise concerns about the with Sullivan as Beijing continues to repair its economy, which was hit by the COVID-19 pandemic. In May, U.S. President Joe Biden on Chinese electric vehicles, advanced batteries, solar cells, steel, aluminum and medical equipment.

A Chinese Foreign Ministry spokesperson on Tuesday urged Canada to B次元官网网址渘ot politicize economic and trade issues.B次元官网网址

B次元官网网址淐hinaB次元官网网址檚 burgeoning electric vehicle industry is the result of continuous technological innovation, a well-established industrial and supply chain and full market competition,B次元官网网址 spokesperson Lin Jian said.

Trudeau said that Canada also would impose a 25% tariff on Chinese steel and aluminum.

B次元官网网址淎ctors like China have chosen to give themselves an unfair advantage in the global marketplace,B次元官网网址 he said.

One of the Chinese-made EVs imported into Canada is from Tesla, made at the companyB次元官网网址檚 Shanghai factory, though the U.S. company could avoid the tariff by switching to supplying Canada from factories in the U.S. or Germany.

Chinese brands arenB次元官网网址檛 yet a player in Canada. However, Chinese EV company BYD established a Canadian corporate entity last spring and has indicated that it intends to try and enter the Canadian market as early as next year.

Chinese firms can . ChinaB次元官网网址檚 solar cell plants and steel and aluminum mills have enough capacity to meet much of the worldB次元官网网址檚 demand. Chinese officials argue their production keeps prices low and would aid a transition to a green economy.

Deputy Prime Minister Chrystia Freeland said that Canada also will launch a 30-day consultation about possible tariffs on Chinese batteries, battery parts, semiconductors, critical minerals, metals and solar panels.

B次元官网网址淐hina has an intentional state-directed policy of overcapacity and oversupply designed to cripple our own industry,B次元官网网址 Freeland said. B次元官网网址淲e simply will not allow that to happen to our EV sector, which has shown such promise.B次元官网网址

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