China has strongly opposed reports that the European Union is seeking a voluntary cap on Chinese hybrid vehicle exports to Europe, warning that such restrictions would violate World Trade Organization rules and undermine market competition.
![](https://thenigerialawyer.com/wp-content/uploads/2026/09/NBBSPIDEL.png")
![](https://thenigerialawyer.com/wp-content/uploads/2026/05/2026-Summer-IDRI-Masterclass.jpg")
The dispute follows a Financial Times report that Brussels has asked Beijing to voluntarily limit Chinese hybrid vehicle sales to around 15 per cent of the European Union market as part of efforts to prevent an escalating trade confrontation between the two economic powers.
According to the report, European officials are concerned about the growing presence of Chinese-made vehicles in the bloc and are considering stronger trade measures if Beijing does not agree to voluntary restrictions.
“If they will not limit their exports to our market then we will,” the Financial Times quoted an EU official as saying, adding that the issue was linked to concerns about deindustrialisation and the future of Europe’s manufacturing sector.
Reuters, however, said it was unable to independently verify the report, while the European Union did not immediately respond to its request for comment.
Responding on Friday, September 18, China’s Ministry of Commerce said it had taken note of the reports but firmly opposed the proposed restrictions.
The ministry described so-called voluntary export restraints as inconsistent with WTO rules and the principles of a market economy and fair competition.
“So-called voluntary export limits seriously violate WTO rules and run counter to the dynamics of market economy and the principles of fair competition. China firmly opposes this,” the ministry said.
The ministry stressed that any solution to trade disagreements between China and the EU must balance the interests of both sides, comply with WTO rules and their respective domestic laws, and take proper account of the interests of industries in both economies.
Significantly, the Chinese ministry did not confirm that the European Union had formally demanded that China limit its hybrid exports.
Instead, its response specifically addressed media reports that Brussels wanted Beijing to voluntarily restrict shipments or potentially face higher tariffs.
China’s Foreign Ministry also weighed into the dispute, warning that Beijing would closely monitor the European Union’s next steps.
Foreign Ministry spokesperson Guo Jiakun said China-EU economic and trade relations were mutually beneficial and should not be treated as a zero-sum contest.
Guo urged the EU to maintain market openness, respect free trade and comply with WTO rules while ensuring that businesses from all countries operate in a fair and non-discriminatory environment.
“We will closely follow the EU’s moves and do what is necessary to protect the legitimate and lawful rights and interests of our businesses,” he said during a regular press briefing on Friday.
The reported hybrid-car proposal comes amid wider trade tensions between Beijing and Brussels.
European Commission President Ursula von der Leyen said last week that the EU was prepared to deploy available trade instruments to address what she described as an unsustainable goods-trade imbalance with China.
The EU’s goods trade deficit with China stood at €360.6 billion in 2025 and widened by a further nine per cent during the first half of 2026, according to figures cited by Reuters.
Von der Leyen has argued that Europe is confronting another wave of competitive pressure from Chinese exports, which she has linked to risks of further deindustrialisation.
Beijing rejects European allegations that Chinese exports are being driven by industrial overcapacity, arguing instead that such claims are increasingly being used to justify protectionist measures against Chinese businesses.
The dispute over hybrid vehicles has emerged as Brussels and Beijing attempt to address a wider range of trade disagreements.
According to the Financial Times report cited by Reuters, the EU has also sought restrictions on exports of some Chinese chemical products while simultaneously pushing China to purchase more European goods.
European Trade Commissioner Maroš Šefčovič has said Brussels wants tangible progress in negotiations with Beijing by October and is expected to travel to China for further discussions.
Interested buyers are encouraged to place their orders and enquiries via:
0704 444 4777, 0704 444 4999, 0818 199 9888
Website: www.alexandernigeria.com
