Chinese Great Wall Motor is first EV maker to respond to EU anti-subsidy probe
Tension between China and the EU is growing, partly because of Beijing's closer ties with Moscow after Russia's invasion of Ukraine, while the bloc seeks to cut reliance on the world's second-largest economy in its push for a green transition.
We need a fair and open trade environment,
the automaker's president, Mu Feng, said on his Weibo social media account on Monday. "We have the confidence to win the competition globally," Reuters cited him as saying.
Great Wall provided its answers to the European Commission on 11 October and was the first automaker to have done so, he added.
Brussels began the investigation this month to decide whether to set up higher tariff barriers against what European Commission President Ursula von der Leyen has called a flood of cheaper Chinese EV imports benefiting from state subsidies.
It is examining EVs exported to Europe from China both from Chinese manufacturers and foreign automakers, such as Tesla, BMW and Renault.
"Europe is one of the key strategic markets for Great Wall Motor," Mu said, adding that the company had big plans for the region, having begun site selection efforts for a plant there, envisaging full capabilities from production to sales.
Great Wall Motor plans to build a plant in Europe and (eastern) Germany was one of the candidates for the site, the German publication Automobilwoche said in May.
Alternatively, Hungary or the Czech Republic are also possibilities,
GWM rotating president Xiangjun Meng said in May.
Great Wall sells the electric-focused Ora brand and premium Wey brand in select European markets including Germany, where it sold 3,393 new vehicles through September, according to the KBA motor authority, Automotive News Europe reported.
Great Wall ranked eighth in terms of sales of pure electric and plug-in hybrid cars in China during the first nine months, industry figures show.
In addition to Great Wall, the arrival of BYD, the world's largest EV manufacturer, has also been discussed in recent days, following the company's recent talks with Hungarian Prime Minister Viktor Orbán.
In addition, it was announced last week and during a visit by Orbán and his team to China that the Hungarian government will launch a HUF 60 billion programme in November to support the uptake of electric cars, including the development of a charging network and a discount on the purchase of electric vehicles.
BYD is reportedly considering building two factories in Europe, with possible locations including Germany, France, Spain and Poland, with a final decision expected to be announced later this year.
In addition, in Szeged, expropriation procedures have already started for a major investment, and according to economic news portal G7, there are several indications that BYD is the developer, but it is not yet known whether cars or buses will roll off the production lines.
Cover photo: Getty Images
