The Chinese Ministry of Commerce announced that a new trade arrangement with the European Union allows for the growth of hybrid vehicle exports from 2025 levels. This statement follows reports suggesting a potential reduction in imports to the bloc. According to Eurostat data cited by the ministry, Chinese hybrid vehicle exports to the EU reached 302 000 units in 2025, up from 107 000 in 2024.
The agreement is based on three core principles: respect for facts, non-discrimination, and compliance with World Trade Organization rules. China stated that its export quota will not be lower than that of any other source of EU imports. While the ministry confirmed these principles, it did not disclose specific volume caps, implementation timelines, or the exact extent of the allowed growth.
The clarification follows discussions held in Beijing on October 8 and 9 between Chinese Commerce Minister Wang Wentao and EU Commissioner for Trade and Economic Security Maros Sefcovic. The ministry emphasized that the arrangement aims to address the concerns of both industries while protecting the interests of Chinese companies. China retains its rights to seek dispute settlement or trade compensation under WTO frameworks.
Hybrid vehicles have emerged as a primary focus in recent trade negotiations, as they were excluded from the definitive countervailing duties imposed by the EU on Chinese battery electric vehicles in October 2024. Regarding the ongoing anti-subsidy case for battery electric vehicles, the ministry noted that both sides achieved a soft landing in January and will continue procedures related to price undertakings.
