EU-China Relations at Stake in EV Tariff Vote

Welcome to the Brussels Edition, Bloomberg’s daily briefing on what matters most in the heart of the European Union.

Europe has been talking for a while about being more assertive toward Chinese trade practices, but words haven’t always translated into action. The EU is expected to take a big step today — and many member states are openly nervous about it. They’re expected to vote to impose definitive tariffs on electric vehicles made in China, although there will likely be a number of abstentions. Germany, spurred by its industry, has long pushed for a softer approach. Beijing’s threats of retaliation frequently divided the bloc. Even after the vote, Brussels and Beijing will continue to negotiate on a possible solution to avert the tariffs, but tensions will remain high. China has indicated it may respond with potential levies on dairy, brandy, pork and other goods.