I was quite confused by this distinctly European approach until I had dinner with a Chinese actuary working in the auto warranty insurance industry.
Europe asks China to voluntarily limit exports (mostly autos) to the European Union. Europe doesn’t want to get China angry with them about this issue. However, China is sending massive numbers of EVs into Europe. Europe is losing its auto business. I couldn’t figure out why the EU didn’t take an aggressive/confrontational position.
Then I was reminded. Europe cannot force Beijing through a trade action (tariffs, ban, EU limit etc.) because Beijing might stop selling them EV carbon credits. If the European automakers cannot purchase Chinese EV carbon credit certificates, the fines levied by Brussels against gasoline powered autos will destroy the EU auto business.
Think about this for a while, then read the EU media report:
EuroNews – Brussels is pressing Beijing to accept quotas on Chinese exports as negotiations enter their final stretch, with the EU threatening trade measures unless tangible progress is made by next month.
Brussels and Beijing are fighting over quotas that would limit Chinese imports to the EU market, as the Europeans seek to rebalance their trade relationship with China, Euronews has learned.
Both started intense negotiations last June over EU and Chinese access to each other’s markets, with an October deadline set by the European Commission to reach “tanglible” results. However, China is pushing hard against the EU’s attempts to protect its market.
According to one person familiar with the matter, the Commission, which is negotiating on behalf of the 27 EU countries on trade issues, wants China to accept quotas on specific products. However, it is unclear how China would accept and respect such quotas.
According to media reports, so-called “voluntary export restrictions” have been pushed by the Commission for electric vehicles. But Beijing’s trade minister rejected them in a statement earlier this month.
If China accepted such a system of restrictions, it would mean that it voluntarily limits its exports to the EU on the basis of a deal negotiated with the Commission, sparing the EU from adopting defensive trade measures that might be seen as an aggressive move by China.
Technical negotiations are in their final stretch as the October deadline is approaching. (read more)
It’s a remarkable mess, no?
Europe wants Beijing to voluntarily limit the number of EVs that come into Europe from China, in order to save their auto sector from complete collapse. However, Europe cannot force Beijing to limit the number of EVs that come into Europe from China, or Beijing might stop selling them carbon credit certificates that will result in fines to the EU automakers that will collapse the EU auto sector.
You would think that Europe would just get rid of the net-zero carbon regulations until they can stabilize their market and get back to a reasonable energy policy. Alas, that would mean reversing decades of climate change legislation. The preferred route is to ask Beijing to limit hurting them.
Again, think about this.
Madness.
Just like England releasing terror suspects. Wouldn’t want to hurt any feelings now, would they? To their own demise.
Pathetic
I’m shocked at this.
Really shocked.
Starting to think it would be a vast improvement if Russia lobbed a few nukes into Europe.
The EU is finished, all but the surrender.
Say what? The EUnuchs now have a new globalist green new scam pal with Canada’s Carney. If Canadians can’t see the writing on the wall from being led down this destructive path, they deserve what’s coming.
Who will discard the EUrotrash?
Stupid is as stupid does.
This reminds of a line from Laurel & Hardy: “Here’s another find message you’ve gotten me into…”
Methinks that this phrase is propos to many more episodes across the continent.
“… another fine mess …”
Auto-correct misspelled it for me. This AI stuff is really annoying at times.
This reminds of a line from Laurel & Hardy: “Here’s another fine mess you’ve gotten me into…”
Methinks that this phrase is propos to many more episodes across the continent
It’s madness for sure. All they have to do is get rid of their ridiculous carbon credit program, but that might make the Chinese sad. Plus they have woven their climate religion into every aspect of European life and they don’t know how to admit they were wrong about any of it. All completely self-inflicted, just like their insane immigration policies. It is all proof Europe is doomed.
The climate change agenda was always about reordering the global economic order in order to achieve complete and utter control over humanity.
That some believed it actually was to save the planet just made them useful idiots for others with malevolent intentions.
The only way this was going to work is if they took ALL of us down with them. PDJT was not supposed to happen. Western nations were expected to be in Managed Decline as though this was inevitable and nothing could be done about it except to shrug our shoulders, eat bugs, and ride a bike to that minimum wage job.
I noticed how quickly Billy G and others abandoned climate in favor of data centers. Follow the money.
Ten Most Popular Chinese EVs in Europe
“It’s a remarkable mess, no?”
What a tangled web we weave, when we seek to deceive.
China can’t restrict their exports much right now, their own export economy is collapsing and they need to keep as many people employed as they can.
“get back to a reasonable energy policy. Alas, that would mean reversing decades of climate change legislation.”
They have brought themselves to the edge of collapse, so they “should” take their own advice and build back better.
However, it is easier to fool people than it is to get them to admit that they have been fooled.
A day late and a Euro short. The European automakers are already on the dopamine drip.
What a bunch of bitches
The stupid..
It burns.
🤦♀️ So they have to choose whether Brussels or Beijing puts their auto industry out of business?
This is the definition of a circular firing squad.
Was in UK recently. Series of Uber drivers asserted BYDs and cheaper makes are now a real factor. One of my rides was in a scarily impressive high end BYD. VW especially feeling the pain.