China has filed a request for consultations with Turkey at the WTO in response to Turkey’s move to impose tariffs on electric cars imported from China, the Chinese Foreign Ministry said in a statement on Oct. 8, Reuters reported.
In a statement in Turkish, the Chinese Foreign Ministry said, “Turkey’s discriminatory measure of imposing a 40 percent additional tariff on electric cars and other vehicles imported from China and setting import license restrictions is in violation of WTO rules and a typical protectionist practice. We urge the Turkish side to abide by its relevant commitments in the WTO and immediately correct the wrong practices.”
And in response, the Turkish government has not immediately responded to a request for comment.
Following Turkey’s decision in June this year to impose an additional 40 percent tariff on car imports from China, in September this year, the Turkish trade ministry imposed strict conditions on the import of plug-in hybrid cars from China and other countries.
Turkey stipulates that importers must meet the conditions of having 20 authorized service stores in seven different regions of Turkey before they can import plug-in hybrid vehicles that are not produced in the “European Union or countries with which Turkey has a free trade agreement”. Analysts say that no importer can fulfill these conditions at present.
Analysts say Turkey is constantly putting pressure on Chinese automakers and is currently negotiating with them to invest in production in Turkey and other related matters. Turkey has been trying to deepen its relationship with Chinese automakers in recent months, signing an agreement with BYD earlier this year and saying last week that investment talks with Chery Automobile are in the final stages.
China’s electric cars are now facing increasing trade pressure globally.
China’s “request for consultations” to the World Trade Organization is the first step in resolving trade disputes, which are sometimes resolved at this stage. In March, China also filed a complaint with the World Trade Organization over subsidies provided by the United States to protect its domestic electric vehicle industry.