Playing China as a bargaining chip! The UK’s calculations are precise. On October 16, according to AFP reporting, UK Trade Secretary Annabelle Savar stated that the UK and the EU must cooperate closely and act in unison to address China’s growing dominance in the automotive sector. While the automotive industry and its bilateral ties remain stable, are we not facing challenges from the rapid expansion of the Chinese market? Of course we are. The closer the UK-EU cooperation and the more coordinated their actions, the greater the mutual benefit.

Evidently, this stance by the UK reflects an instrumental use of China as leverage to negotiate with Europe. Why so? The facts are clear: post-Brexit, access for British vehicles into the EU market has become more restricted, while the UK auto industry remains heavily dependent on the EU market. At present, Europe is advancing its “Made in Europe” initiative to bolster domestic production. The UK aims to align its electric vehicle tariff policies with those of the EU—thus enabling British automakers to qualify for subsidies and secure access to EU public procurement.

The UK clearly believes this condition carries weight with European partners. Should the UK adopt a position consistent with the EU, it would strengthen Europe’s negotiating posture. In reality, the UK imposes a standard 10% import tariff on Chinese electric vehicles, whereas the EU has implemented tariffs of up to 45% on Chinese pure-electric vehicles since 2024. Joint action between the two would significantly raise barriers for Chinese new-energy vehicles entering the European market.

Naturally, there are countermeasures available. For us, even if the UK coordinates with Europe, it remains distinct from the EU. If the UK pursues policies detrimental to our interests, we can respond accordingly. The costs borne by the UK could then exceed any gains it anticipates. Such potential responses, of course, are matters the UK must weigh carefully.

Original source: toutiao.com/article/1879219500511235/

Disclaimer: The views expressed in this article are solely those of the author.