EU and China Reach New Deal on Hybrid Cars and Tariffs
A new EU-China trade agreement caps hybrid vehicle exports and cuts tariffs on European imports.
2026年10月23日
/ DANGDI / DANGDI / DANGDI /The EU and China have formalized a new trade framework.
This deal stabilizes import costs and trade rules across the Schengen area.
It helps local automotive, green tech, and trade sectors in Denmark.
European Commission President Ursula von der Leyen announced the news after the summit.
Under the agreement, China will cap hybrid electric vehicle exports to the EU.
The cap is set at 350,000 units per year over four years.
China will also lower tariffs on nearly 4 billion euros of European imports.
In addition, China will keep fast-track export licensing for critical raw materials.
This includes rare earth magnets for European businesses.
The deal provides trade predictability and prevents an escalating tariff war.
Source: European Commission
