Source: GT Published: 2024-05-21

Chinese industry experts on Sunday slammed a Canadian official's remarks that the North American country is considering high tariffs on Chinese electric vehicles (EVs) following a similar move by the US government, saying that Ottawa is pandering to Washington's pressure and any tariff hike won't have a major impact on China's EV industry.

Canada's Minister of Innovation, Science and Industry François-Philippe Champagne said that Ottawa is 'considering all measures' after the US announced tariff hikes on Chinese EVs and other related goods, adding that Canada won't rule out imposing tariffs on Chinese EVs, the Canadian Broadcasting Corp reported on Friday.

'It's fair to say that everything is on the table to protect our industry and our workers,' Champagne was quoted as saying. 'We're working in sync with the United States of America.'

Canadian Trade Minister Mary Ng said that Canada is looking at whether it needs to raise tariffs on Chinese-made EVs. 'We are looking at this very carefully and we have an open dialogue with our American partners,' Bloomberg quoted Ng as saying.

While it remains to be seen whether Canada will increase tariffs on Chinese EVs, experts said that any potential move by Ottawa is more of a display of Canada's political allegiance to the US.

'Canada has for years played the role of a bootlicker for the US, so raising tariffs on Chinese EVs is pandering to pressure from Washington at the expense of its domestic industry and Canadian consumers,' Dong Shaopeng, a senior research fellow at the Chongyang Institute for Financial Studies at the Renmin University of China, told the Global Times on Sunday.

Dong said that Canada's market is relatively small for Chinese EVs that any decision to hike tariffs won't have a major impact on China's EV industry.

'I really hope that Canada can maintain its independence in trade and that country could return to the approach of cooperation with China,' Dong said, noting that Ottawa should 'learn a lesson' from its arresting Huawei executive Meng Wanzhou at the behest of Washington.

'It did not yield any benefit for Canada,' Dong said.

Washington announced last week sharp tariff hikes on Chinese EVs and other high-tech products, drawing criticism from China. Beijing said it could take all necessary measures to defend the country's legitimate rights and interests.

Amid concerted efforts by the US and its allies to stymie China's EV industry, the EU has also launched a so-called anti-subsidy investigation into Chinese EVs.

Regarding the EU's protectionist moves, China actually has sufficient countermeasures, Yuyuantantian, a social media account under China Media Group, reported on Saturday. 'If the EU continues to take [protectionist] actions, China could be forced to take a series of measures to fight back,' the report said.

Gao Lingyun, an expert at the Chinese Academy of Social Sciences, said that the moves by the US, the EU and Canada showed that the West is making a concerted effort to harm China's advanced industries. However, this will not stop the continued development of Chinese industries, experts say.

'I think this is more of a symbolic move to show off for the upcoming US general election. It will not have a substantial effect,' Gao told the Global Times, noting that even if Canada follows the US in imposing high tariffs on Chinese EVs, it will not have any major impact.

Moreover, in light of the West's increased protectionism against Chinese EVs and other high-tech products, some Chinese experts have called for raising tariffs on imported vehicles with large engines, which they said is not only in line with WTO rules but also fits China's green, low-carbon development goals.