China agrees to ‘halve’ hybrid car exports to EU in landmark deal
Brussels says Beijing’s shipments could fall by more than half over four years, cutting millions of vehicles amid fears for European jobs
TL;DR
- The EU and China have agreed to 'halve' hybrid car sales in the EU.
- This deal is the first of its kind and aims to address a trade deficit of €1.18bn daily.
- China has agreed to moderate its exports without prior trade tension.
- The reduction in exports is expected to be 'several millions' of plug-in and battery-powered hybrid cars over four years.
- The agreement is seen as a crucial first step in managing trade imbalances.
- Future negotiations will cover cars, export restrictions on rare earths, and EU food and drink access to China.
- Curbing sales may involve setting higher minimum price tags for Chinese cars in Europe.