In a letter obtained by Reuters, Sebastian Lechner, the state chairman of the Christian Democratic Union (CDU) in Lower Saxony, called on the European Union to act quickly and place import tariffs on hybrid cars manufactured in China. Lechner said the hybrids are currently experiencing the greatest import pressure from Chinese automakers, a trend that threatens the competitiveness of the region’s automotive sector.
Economic concerns for Lower Saxony
Lower Saxony is home to the Volkswagen Group in Wolfsburg, one of the world’s largest car manufacturers. Lechner argued that unchecked imports of Chinese hybrid models could erode market share for German producers and undermine jobs in the state. He pointed to an OECD study indicating that roughly 60% of the market share held by Chinese products abroad is attributable to government subsidies, describing the situation as a “distortion of competition” in trade policy.
Call for coordinated EU action
Lechner urged both the European Commission and the German federal government to adjust trade policy toward China. He noted that the EU already imposes import duties on fully electric cars from China, and argued that similar measures should be extended to hybrid vehicles without delay. The CDU leader said the move would protect European manufacturers and align with existing trade safeguards.
Broader trade context
The request comes amid growing scrutiny of China’s industrial subsidies across a range of sectors. European officials have been debating how to address perceived unfair advantages enjoyed by Chinese firms, especially in high‑technology and automotive markets. While some EU members favor a cautious approach, others support more aggressive tariff measures to level the playing field.
Potential impact on consumers
If the EU adopts the proposed tariffs, Chinese hybrid cars could become more expensive for European buyers, potentially shifting demand toward domestically produced models. Lechner suggested that higher prices would encourage consumers to consider German alternatives, thereby supporting local employment and preserving the region’s industrial base.
Next steps
Lechner’s letter is expected to be reviewed by EU trade officials in the coming weeks. The outcome will depend on negotiations within the European Commission and the stance of member states on broader China‑EU trade relations. Stakeholders, including automotive manufacturers and consumer groups, are likely to weigh in as the discussion progresses.
For now, the CDU’s appeal highlights the tension between open markets and the desire to protect domestic industry, a debate that will shape Europe’s trade policy toward China in the months ahead.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.