BRUSSELS, July 15 (Reuters) - Italy and Spain are
backing European Union tariffs on imports of China-built
electric vehicles, government sources said ahead of a Monday
midnight deadline for all 27 EU members to take their stand on
the matter.
The vote is non-binding, but it could influence the final
conclusion of the European Commission, which oversees the bloc's
trade policy. It set provisional duties of up to 37.6% on EVs
imported from China, ratcheting up tensions with Beijing.
The EU executive is canvassing EU governments' views in an
"advisory" vote, which the Commission is expected to take into
account when deciding whether to follow up with definitive
duties in what is the EU's highest profile trade case yet.
The Commission says the vote is confidential and it will not
disclose the outcome.
Government sources said on Monday that Italy had voted in
favour and that Spain would do the same in their written
submissions. Sweden plans to abstain, trade minister Johan
Forssell told Reuters. Germany is also set to abstain, sources
said on Friday. One of them said this was in the spirit of
"critical solidarity" with the Commission.
A number of EU governments have been
hesitating
.
Poland's development ministry said Warsaw's position was
still the subject of consultations between ministries. Greece
had yet to take a position as of Saturday.
A decade ago, the EU executive did not impose tariffs on
Chinese solar panels after it became clear that a large group of
EU members did not support them. EU manufacturing subsequently
collapsed.
The Commission will continue its investigation and determine
whether to propose definitive duties that would typically apply
for five years.
If it does push for tariffs, they will come up for a binding
vote among the EU members, and would be blocked if a qualified
majority of 15 member countries representing 65% of the EU
population vote against.
The near-four month window before then will allow Brussels
and Beijing to negotiate a possible resolution to tariffs that
would hit Chinese producers such as BYD, Geely and SAIC and
Western automakers such as Tesla and BMW. Beijing has threatened
wide-ranging retaliation.