BEIJING — China has agreed in principle to cut its hybrid car exports to the European Union by half, European Trade Commissioner Maroš Sefčovič said Friday, signaling a possible easing of trade tensions between Beijing and Brussels.
The EU had urged China to voluntarily curb shipments of hybrid vehicles to the bloc. Chinese officials had previously rejected the proposal, according to a report by the Financial Times.
The issue comes as the EU’s trade deficit with China continues to widen. Germany and France have urged Brussels to consider a “last-resort” trade measure aimed at addressing the growing imbalance in goods and investment.
Sefčovič cautioned that the proposed agreement still requires approval from the European Commission. Nevertheless, he described two days of discussions with Chinese Commerce Minister Wang Wentao in Beijing as a constructive beginning after months of escalating friction between China and the EU.
China’s Ministry of Commerce also published a list of 16 “consensus outcomes” reached during the talks.
Among them were arrangements related to export licenses for rare earth materials and permanent magnets destined for the European Union. Sefčovič did not provide details on when those exports would begin.
The latest meeting followed the first round of EU-China Trade and Investment Consultations, which took place earlier this year on June 29.
According to China’s account of the discussions, the two sides plan to hold a video conference in January before meeting in person again in March.
