On June 3, Minister of Commerce Wang Wentao and EU climate chief Sevčović met in Paris, France, for a very important meeting.

The two sides discussed a number of pressing and important issues, including:

EU countervailing to Chinese EVs: The EU suspects that Chinese EV companies are receiving unfair subsidies in the European market. China's anti-dumping case against EU brandy: China believes that EU brandy exports to China are being sold at unfair low prices. Export controls: regulations and restrictions on the export of technology or products.

For investors, the meeting sent a positive signal that despite differences, both sides are trying to find common ground. This means that there may be more opportunities for cooperation in the future, especially in the field of new energy vehicles and high-end consumer goods.

|One step closer to "shaking hands and making peace"!

Minister of Commerce Wang Wentao and EU Chief of Climate Affairs Shevčović had a very professional and in-depth discussion. The two exchanged views on the issue of electric vehicle trade between China and the EU, and the atmosphere was good and the direction was the same - that is, they wanted to negotiate this matter and not start a trade war.

At present, the negotiations between the two sides on the "price commitment" have entered the final stage. To put it simply, the "price commitment" is a commitment by the Chinese company to export electric vehicles to Europe at a "reasonable price" to avoid being identified as "dumping". This approach is a relatively mild and pragmatic solution in international trade.

During the talks, the European side also put forward a new idea: Why don't we explore some new technological paths together? For example, finding common ground in battery standards, carbon footprint certification, etc.

The Chinese side said it would carefully assess the feasibility of this proposal from the legal and technical levels to see if it could become a new way of thinking about the problem.

Both sides have given clear instructions to the task force to accelerate the pace and find a mutually acceptable solution in accordance with their respective domestic laws and WTO rules. To put it bluntly, it is necessary to do this legally and compliantly, instead of "stuck" each other.

Positive actions by French companies

Recently, there was good news: some French companies and related associations have voluntarily submitted price commitment applications to the Chinese side. The core of the application means that these French companies are willing to export their products to China at a mutually acceptable price in order to avoid the imposition of anti-dumping measures.

The Chinese investigative authorities have agreed with the French companies on the core terms of the price pledge. At present, the Chinese side is carefully reviewing the full text of this price pledge. If all goes well, a final announcement with the text of the price commitment is planned by 5 July.

What does this mean? Put simply, if French companies agree to do business at this new price rate, they can continue to sell their products to the Chinese market without fear of high tariffs or other restrictions.

The talks demonstrated China's sincerity in resolving trade differences through dialogue and consultation. The Chinese side also expressed the hope that the EU side will make corresponding efforts to properly handle China's concerns and create better conditions for the two sides to further expand cooperation.

Jingtai believes that this is undoubtedly a positive sign for investors. It shows that the trade friction between China and the EU is not irreconcilable, and that solutions can be found through communication and compromise. This kind of cooperation is particularly important in the current complex and volatile global economic situation.

Export Control: Clarification and Cooperation

During the recent talks, Minister Wang Wentao explained in detail China's export control policy to the European side. In particular, he stressed that the imposition of export controls on specific items, such as rare earths, is nothing new, but a common practice at the international level. To put it simply, each country will control the export of certain critical materials according to its own security and economic interests.

In response to the concerns of the European side, especially on the export restrictions on such important resources as rare earths, Minister Wang Wentao said that China attaches great importance to the views of the European side and is willing to set up a green channel for eligible applications to speed up the approval process. This means that applications will be processed faster and wait times will be reduced as long as the relevant regulations are met.

He also instructed the working staff to maintain timely communication with the European side to ensure the smooth flow of information. The purpose of this is to increase transparency and reduce unnecessary misunderstandings and delays.

Minister Wang Wentao also expressed the hope that the EU can also take effective measures to promote compliant trade in high-tech products. In other words, the Chinese side hopes to make efforts to simplify trade processes and ensure smooth access to the Chinese market for high-tech products, while also making it easier for Chinese companies to access the technology and materials they need.

What does this mean for investors?

For investors, the dialogue sent an important signal: despite some trade frictions and regulatory measures, both sides are actively looking for solutions and working to create a more open and transparent trading environment. This is undoubtedly good news for those involved in the rare earth supply chain and the import and export of high-tech products.

By paying attention to these policy developments, you can better understand market trends and seize potential investment opportunities. For example, in the field of rare earths, with the optimization of the approval process, related companies may usher in new growth points; In terms of trade in high-tech products, if both sides can further ease restrictions, it will bring more opportunities for business cooperation.