China, EU Reach Deal to Ease EV Import Tariffs

China and the European Union announced on January 12, 2026 that they have agreed on a framework to resolve their long‑standing dispute over Chinese‑made electric‑vehicle (EV) imports. An EU guidance document now sets minimum price offer parameters for Chinese manufacturers, addressing variations across vehicle types and aiming to remove the injurious effects of subsidies. The EU had slapped tariffs of up to 35.3% in 2024 after an anti‑subsidy probe; the U.S. imposed a 100 % tariff on Chinese EVs the same year. China’s EV sales in the EU rose from 5 % of first‑half 2024 to 6 % in 2025, and analysts project the share could climb to about 10 % by 2030 as the bloc seeks to cut emissions by 55 %.