Rising Trade Tensions Between the EU and China

It is well known that China has in recent years conquered global markets by generously supporting its own industry. As a result, it has brought, for example, the European automotive industry almost to its knees, and some of it has already been relocated to China.

However, now the European Union member states are planning to impose permanent tariffs on electric cars manufactured in China. This would increase the cost of importing cars from China to Europe by five to ten thousand euros at current prices, depending on the manufacturer, assuming the tariffs are passed directly onto the prices.

It remains to be seen what will happen if the decision is implemented. It is likely that at least some sort of trade war will break out, unless a miracle happens and a fair agreement is reached on the level of state subsidies.

This would, of course, require that China understands the reason why the EU is imposing tariffs and accepts the principle of fairness, which would include mutual respect. However, this is probably too much to expect, at least until enough damage has been done to both parties' economies through mutual squabbling.

Previous thoughts on the same topic:
China uses Western universities to educate its youth
China is betting on scientific excellence
Does China prove the superiority of market economy?