China and the EU reached a consensus on the price undertakings for exported BEVs. Both sides agreed that it is necessary to provide general guidance to Chinese exporters of BEVs to the EU.
The European Union imposed anti-subsidy tariffs on Chinese battery electric vehicles in 2024, following an investigation into the segment’s state support. The EU imposed tariffs of up to 35.3% atop of the standard 10% tariff. China disagreed with such a policy. In January 2026, the Ministry of Commerce on the Progress of China-EU Consultations on the EU’s Anti-subsidy Case issued a notification.
China & the EU agreement
The Chinese Ministry of Commerce reported that China and the EU reached a consensus, based on mutual respect. Both sides agreed that it is necessary to provide general guidance on price undertakings to Chinese exporters of battery electric vehicles to the European Union. This way, Chinese exporters will be able to address relevant concerns in a way that is consistent with WTO rules.
The EU will issue the Guidance Document on Submission of Price Undertaking Offers. In this document, the EU will assess each price undertaking offer against the same legal criteria in an objective and fair manner, following the principle of non-discrimination and in accordance with relevant WTO rules.
It isn’t clear from the text of the notification if the anti-subsidy tariffs of up to 35.3% will be removed. However, the China Chamber of Commerce for Import and Export of Machinery and Electronic Products (CCCME) reported that the European Commission has pledged to conduct objective reviews of applications submitted by Chinese companies. Eligible companies can use price undertakings to replace anti-subsidy duties.
According to CCCME, price undertakings will act as an alternative to tariffs. The EU will set a minimum import price for each Chinese NEV maker. Experts of the China Chamber of Commerce called this notification a “soft landing” for the anti-subsidy tariffs case.
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