Spanish Prime Minister Pedro Sanchez urged the European Union on Wednesday to reconsider its proposed import tariffs on Chinese-made electric vehicles (EVs) and called for a compromise between Brussels and Beijing to avoid a trade war. Speaking during a visit to China, Sanchez’s remarks indicate a shift in Spain’s stance, which had previously supported the tariffs. He expressed concerns about the potential negative impact of the EU-China trade conflict on Spanish industry.
“We have to reconsider our position, all of us—not just the member states but also the European Commission,” Sanchez stated at an event in Kunshan, an industrial city in China. “We don’t need another war, particularly a trade war. From Spain, we aim to be constructive and seek a compromise between China and the European Commission.”
The European Commission has yet to respond to the remarks. Earlier this week, Chinese President Xi Jinping encouraged Sanchez to play a “constructive role” in mending strained relations between Beijing and Brussels.
In October, EU member states are expected to vote on whether to implement additional duties of up to 36.3% on Chinese EVs. China has already retaliated by initiating anti-dumping investigations into European pork and dairy imports. While France and Italy voted in favor of the tariffs in a non-binding vote in July, Germany, Finland, and Sweden abstained. The EU has since adjusted some of the duties or lowered the proposed tariffs.
Italy’s Industry Minister Adolfo Urso hinted at a potential negotiated resolution, noting, “They are discussing it in Geneva at the moment,” referring to the formal dispute China brought before the World Trade Organization.