China Urges German Carmakers to Help Ease EU Tariff Dispute and Address Nexperia Controversy

China has appealed to Germany’s most influential automotive leaders to help break the ongoing deadlock with Brussels over anti subsidy tariffs on Chinese electric vehicles while also seeking support to resolve the diplomatic and regulatory challenges surrounding the Nexperia semiconductor issue. The requests were made during two separate video meetings on Monday, reflecting Beijing’s strategy of turning to major European industry players who hold significant sway in EU policymaking.

According to China’s Ministry of Commerce, Vice Minister Ling Ji met virtually with Hildegard Mueller, president of the German Association of the Automotive Industry, as well as Ola Kallenius, chairman of Mercedes Benz Group and president of the European Automobile Manufacturers Association. Ling encouraged the leaders to use their influence in Brussels to promote compromise and dialogue at a time when trade tensions between China and the European Union are steadily intensifying.

The European Commission launched an anti subsidy investigation earlier this year into Chinese made electric vehicles, expressing concern that government support for the domestic sector gives Chinese manufacturers an unfair advantage in European markets. The inquiry has moved the EU closer to levying punitive tariffs, a step that has alarmed European carmakers who depend heavily on China for both production and sales. Many German automakers have substantial operations in China and view the country as essential to their long term growth plans.

During the meeting, Ling emphasized that cooperation between the Chinese and European automotive industries has generated strong benefits for both sides over several decades. He said that escalating trade barriers would threaten existing partnerships and undermine global efforts to promote green mobility. Ling urged industry leaders to communicate these concerns to EU decision makers and to encourage solutions that maintain the stability of the international supply chain.

In addition to the tariff dispute, Ling addressed concerns over the situation involving Nexperia, a semiconductor company owned by China’s Wingtech Technology. Nexperia’s acquisition of a British chip plant in 2021 became the subject of political scrutiny in Europe, with regulators citing national security concerns. The issue has strained relations and raised questions about Chinese investment in critical technology sectors. Ling asked German representatives to help foster a more balanced and predictable environment for Chinese companies operating in Europe, arguing that political tensions should not overshadow legitimate business activity.

Both German and European automotive associations have expressed a desire to avoid a trade confrontation with China. Industry leaders have repeatedly warned that tariffs on electric vehicles would disrupt market stability, increase production costs and delay the transition toward cleaner transportation across Europe. German manufacturers in particular fear that retaliatory measures from China could impact their market share in one of their most profitable regions.

China’s outreach to German carmakers signals a growing recognition that influential industry voices may help shape the European Union’s final stance. As discussions continue, both sides face pressure to find a compromise that protects industrial interests while addressing regulatory and political concerns.