Several Chinese automakers have reportedly traveled to Beijing to seek export allocations under the new China–EU arrangement on hybrid cars. CnEVPost cites a Monday report from Cailian. One person familiar with the matter told Cailian: "The total quota is limited, so each company will not receive a large export allocation." The report didn't name the automakers.
The deal
- China's commerce minister Wang Wentao and EU trade commissioner Maroš Šefčovič held talks in Beijing on Oct. 8–9.
- On Oct. 12, China's Ministry of Commerce said the EU imported 107,000 hybrids from China in 2024 and 302,000 in 2025. It said the sides agreed on an "upward" arrangement based on the 2025 figure.
- The Guardian reported that the European Commission confirmed a limit of 350,000 hybrid cars a year, under WTO safeguard rules, starting in December. The four-year agreement is expected to halve China's share of the market, now at 6%.
- CnEVPost, citing a Bloomberg report on a proposal document, says the quota rises 6% a year after the first year, covers both HEVs and PHEVs, and could start as early as Dec. 1.
Details
The Guardian reported that cars above the quota won't pay a tariff but will stay blocked in customs. Chinese-brand cars assembled inside the EU, such as in Hungary, aren't covered, while EU companies' China-built cars are. Battery-electric cars are handled separately, under the price-undertaking process from the EU's anti-subsidy case.
For Tesla, the Shanghai-built Model 3s it ships to Europe are battery-electric, so the hybrid quota doesn't cover them.