tariffs

Mexico has placed impossible tariffs on Chinese cars. What they didn’t imagine was that the cars were already there.

by

Export to buckets. That was China’s goal in 2025 towards Mexico. Alerted by the enormous tariffs that the country was going to impose, as it has been, Chinese manufacturers have done everything possible to be faster than the Government. Now, exporting a car to Mexico from China is unfeasible. But the Chinese cars arrived months ago. taxes. Was a 20% tariff on Chinese cars too little? Mexico believes so and that is why, since January 2026, it has been applying a new 50% tariff on imports of products arriving from countries with which it does not have trade agreements. Come on, what Chinese cars now have to pay 50% tariffs to enter Mexico. The measure, explained in Motorpasión Mexico has a bit of a protectionist flavor compared to China or India (the latter country has Mexico as the third country to which it sends the most cars). But, above all, It has a lot of nods to the United Stateswith whom Mexico has a special trade agreement that has been at risk since Donald Trump returned to the White House. when you go. I will tell an anecdote from the writing of Xataka. In our Slack we have a reaction from Chenoa to point out to someone that we were already contemplating writing on a topic that he now proposes to us again. You know: “when you go…”. And that is what has happened to Mexico with China. Manufacturers, alarmed by the possibility of tariffs being raised in their country of origin (as has finally happened) began to send all the cars they could to Mexico. The result: 625,187 cars exported to Mexico in one year. They have done “a Chenoa” to Mexico. one in three. To understand the magnitude of exports, according to data from the China Passenger Car AssociationMexico is the country to which China exported the most cars in 2025. These more than 625,000 vehicles surpassed those purchased by Russia (582,738 units), which has serious difficulties in obtaining vehicles from abroad. The United Arab Emirates, with 571,937 cars imported from China, was the third country that received the most cars. The figure is enormous. And in Mexico around 1.5 million cars are bought a year. That is, if in 2026 each and every one of the cars exported by China were sold, in 2025 we would be talking about one in every three sales in the country being from Chinese manufacturers. How many are available? Those exports, of course, leave a pool of cheap cars in stock so the impact of Chinese cars on the market will continue to be felt for some time. It must be taken into account that it is calculated that China had already taken 15% market share. The storage of these cars, everything indicates, guarantees that Chinese brands continue selling at the same rate throughout the year. They point out in Motorpasión Mexico In 2025, it is estimated that Mexicans will buy just over 400,000 cars of Chinese origin. The only question is how many of them belong to the more than 630,000 cars imported last year and how much is the stock since a part of them must have been imported into the country in 2024. Photo | aboodi vesakaran and BYD In Xataka | Japan has been charging a 0% tariff on foreign cars for half a century. It will be very difficult for you to find one on the street.

€10 order, €30 tariff. The EU has just approved the mother of tariffs for Aliexpress, Shein and Temu

by

In 2021, the European Union modified the VAT regulations for businesses like AliExpress stop benefiting from the same exemption for packages worth less than 22 euros. Five years later, the measures for products entering Europe duty-free will completely change. The measure. The Council of the European Union has given the green light to a new regulation on customs duties for items contained in small packages entering the EU. “The new rules respond to the fact that These packages currently enter the EU duty free, resulting in unfair competition for EU sellers“ According to the Council, the measure is intended to support EU companies and “will close avenues for unscrupulous sellers.” The three euros. The figure is very specific: three euros of provisional customs fixed on items contained in small packages valued at less than 150 euros. According to the EU, more than 91% of these small shipments come from China. The key is that those three euros are not per package, they are per different product. You order a package with two mobile phone cases valued at four euros You also order a tempered glass for one euro In the event that you order 10 products for 1 euro but they are different, you would not pay 10 euros, you would pay 40 (30 in tariffs). Starting July 1 you will not pay five euros, you will pay those five euros plus another six (11), when ordering two different products. The dates. The fixed provisional customs duty of three euros will be applied to all product categories, without exception, between July 1, 2026 and July 1, 2028. Once the new EU Customs Data Center comes into operation, the duty will go from being provisional to a normal customs rate. Because. According to the statement, the EU is struggling to reform its customs system in order to cope with “the significant pressure arising from increased trade flows.” A measure that will affect giants like Temu, AliExpress and Shein, kings of electronic commerce in Spain. In Xataka | Europe has proposed to become technologically independent from the US: And it has started with the most difficult thing: chips

Mazda has a plug-in hybrid perfect for Europe. The problem is that for Europe it is electric and pays tariffs like an electric

by

If I had to define this story with one word, I would have no doubt: bizarre. To get an idea of ​​the mess, let’s go with a few strokes that we will break down little by little: Mazda has a Chinese electric car that actually has a combustion engine The European Union has lifted tariffs on Chinese electric cars and Mazda has to pay 30% for each one it imports into Europe The European Union does not impose tariffs on Chinese cars with combustion engines. This exception is being used by Chinese brands to gain market share in Europe. Mazda does have to pay tariffs for that electric car that, in reality, has a combustion engine even though the European Union does not impose additional tariffs on Chinese cars with combustion engines. Yes, my head is spinning too. Let’s try to explain it. The history of tariffs To explain a story, Manolito Gafotas was clear: let’s go to the beginning of time. In October 2024after months warning and after some negotiations with China, the European Union raised some additional tariffs to Chinese electric cars that were already paying 10% per car sold in Europe. These tariffs take into account the alleged state aid that China has given to each brand and the willingness of each brand to collaborate. That is, not all pay the same. These taxes were placed on all electric cars that came from China, regardless of the brand that imported them. This is key because all the European brands that bring their cars from China they also have to pay given that, except Teslano foreign brand manufactures its cars in China without being linked to a local automaker. Changan, which is the brand that concerns us here, has to pay 20% additional tariffs that are added to the 10% basic tariffs. That is, for each car sold in Europe, it has to pay an extra cost of 30% on its value. This Chinese company is associated with Mazda, who uses the base of its Deepal cars to bring the Mazda 6e and the next Mazda CX-6e. The first of them we have already been able to drive it in Xataka And, as we told you, it is a car that carries some of the inconveniences of its Chinese origin but whose main attraction is the price. This association It has allowed Mazda a very important step. The company is a small company so investments have to be very well directed and, seeing the embrace that the electric car is receiving in Europe, they have done the math and were not interested in paying for the full development of their own car. But, yes, they have to comply with European emissions standards if they do not want to be fined heavily. One option is to pay the fine. The second is reduce its emissions level below 93.6 gr/k of CO2almost a chimera for a brand where electrification is the exception. The third, and most likely, is to be part of a pool with companies like Tesla to buy their emissions credits. The Mazda 6e and the Mazda CX-6e is very good news for the company since it puts two electric cars on the market at a very low cost for them and a very high profit. For each electric unit sold, the reduction in emissions is substantial and even if they remain above the limit they will have to pay less for those emissions credits. An electric that is not (at all) electric But, in addition to these two aces, Mazda had a third ace up its sleeve. Your saloon Also sold in China as Extended Range Electric (EREV). That is, we are talking about an electric car with 200 kilometers of electric range supported by a combustion engine. In this case, a 1.5 four-cylinder engine that acts as an electrical generator. He extended range electric It is a solution that Mazda itself uses in a car of its own development, the MX-30 REVand it is the option that is proposed to be able to carry out a new sports car replacing the legendary MX-5. The EREV has the advantage of being able to travel hundreds of kilometers in completely electric mode with the appropriate battery and, if necessary, draw on the combustion engine. Mazda’s intention is to improve it in its entirely models with a rotary engine. Thus, the motor hardly takes up any space and adds very little weight to an assembly that will inevitably be weighed down by the weight of the battery, what is happening within the Japanese company itself. But are we talking about a plug-in hybrid? In practice, yes. The car uses the combustion engine as an electrical generator. Thus, it operates at the most efficient rpm in most situations, providing electricity to the battery and that electricity is sent to the electric motors, which are what actually drive the wheels. The advantage is that you have an electric car for everyday lifewith a safety net on long trips and, despite everything, the immediate torque and smoothness of an electric vehicle. The solution in fact, seems like one of the most logical options with the tightening of the European Union’s emissions conditions. And most Chinese plug-in hybrid cars already work this way on most occasions to lower their consumption. But at Mazda they send a message: It will be difficult to see this version in Europe. And there is a technical detail that differentiates a plug-in hybrid from an extended-range electric car. The European Union makes a distinction between the two that does not focus on whether or not it has a gasoline engine, it focuses on what energy propels the wheels. That is, the Mazda 6e EREV is considered electric because its combustion engine never drives the wheels, always works as a series hybrid. Many Chinese cars prioritize this way of working but they are considered plug-in hybrids because, very specifically, their technology does allow the combustion engine to directly … Read more

BYD sells a total of zero cars in the United States. And, despite everything, it has denounced the United States for its tariffs

by

Not a year ago and it seems like a thousand lives have passed. In case you don’t remember, I’ll give you some background: the United States and China went to war about a year ago. A trade war who left us images to remember, like the photo of Donald Trump with the “reciprocal tariffs” table either the penguins who will now have to pay for putting their products there. Assuming, of course, that the penguins knew how to design, develop, produce and sell products. Beyond Pepín Tre’s own approaches, the truth is that we have been in tug-of-war between the United States and China for almost a year. In OctoberDonald Trump and Xi Jinping met to try to relieve tensions. It is one more of the chapters that has left us a most bizarre year in which, for example, China has been playing its own solitary tricks, redefining the origin of products, classifying them by their place of manufacture and not by the place of development or packaging and, thus, make the entry of chips accessible without lifting restrictions on other types of products. The last chapter of this story seems to be being written by BYD. The Chinese company is not selling cars in the United States. And what has already been approved by Joe Biden before the entry of Donald Trump, with bans on the sale of all cars with Chinese software or hardware, it does not seem to make things easy for the Asian company either. Despite this, BYD has made a tough decision: sue the United States. They believe that the tariffs they are paying are not legal. They doubt that the regulations used by Donald Trump allow tariffs to be imposed. And that is why they demand that all the money paid since April be returned to them. But what money? Much more than cars… although with cars in mind As we have told you in Xatakathe Asian company is much more than a car producer. In fact, and this is part of its secret, BYD did not start out as a regular car manufacturer. BYD, in addition to cars, produces batteries or heat pumps. Vertical integration is part of your secret to saving costs. From this evolution and opening new horizons, its automobile division was launched. But also buses and trucks. Because when BYD arrived in Europe it had already been there for many years selling their buses for our continent. And the same thing happens in the United States. It does not sell cars, but it does sell buses, trucks and batteries. In fact, according to Reuters750 BYD employees work in the United States in its North American division. Up to four BYD subsidiaries from which buses, trucks, batteries and renewable energy systems come out are those that have filed their lawsuit in the United States Court of International Trade. In it they defend that “the text of the IEEPA (the International Emergency Economic Powers Act on which the “reciprocal tariffs” policy was based) does not use the word “tariff” or any term of equivalent meaning.” Since Donald Trump announced the tariffs that he was going to impose on practically everyone, doubts about their legality or otherwise have been on the table. The United States Government dusted off the International Emergency Economic Powers Act to move them forward, a rule of the Cold war. However, doubts about whether or not this rule should go through Congress were on the table from day one. Even the Senate has voted against the tariffs to some countries but the resolution is purely aesthetic. Now, BYD claims that nowhere in the law does it specify that tariffs can be imposed on products coming from abroad. It is a theory supported by various companies that in recent months have also presented their own lawsuits in the same terms, such as Toyota, Costco or Prada, they point out in CarNewsChina. The decision of the court in charge of the lawsuit is key because if it rules in favor of the companies, the United States would have to return all the money collected since April. But it would also open the door for products to be exported without these special tariffs being applied, they would simply have to comply with the tariffs that were already active before April 2025. That is to say, At stake is not only money that BYD may have lost on the products it has sold there. At stake is also market entry which, with current tariffs, is almost impossible. Besides, Canada has opened the door to Chinese electric cars and Geely has dropped that their intention is also to sell their Chinese cars in the United States. The big question, as in the case of BYD, is how they intend to do it before the end of the decade with the restrictions that are currently imposed. It is a question that neither BYD nor Geely have answered. Photo | BYD and Joshua Hoehne In Xataka | “They are going to regret it”: Canada has generated even more tension with the US by opening the door to Chinese electric cars

enter the United States in three years despite 100% tariffs

by

The Chinese automotive industry has set out to conquer the West, and Europe is too small for them. The great objective is to take a bite of the cake that is the United States, a risky bet if we take into account the tariff wall to the chinese electric car. And there is already a firm proposal: Geely is preparing its assault on the United States with two aces up its sleeve. Volvo… and Canada. The plan. Does a few daysthe Autoline Network media public an interview with Ash Sutcliffe. He is the head of global communications at Geely Holding Group, a Chinese giant that has its own brands such as Zeekr either Lynk&Cobut which also controls the Western Lotus, PolestarSmart and… Volvo. The interview was published within the framework of CES, the technology fair in Las Vegasand it was strange because, if there are 100% tariffs on Chinese electric cars, what was Geely doing there? The answer is simple: they are going to assault the US market. Sutcliffe commented that they are studying all the global markets in which they can expand and there is an internal question: when and where they will land in the United States. He did not share the roadmap, but did comment that they will have “an announcement on this in the next 24 to 36 months.” Trojan horse. There are many questions here and none of them were clearly answered in the interview. For example, what will happen to US tariffs or regulations on the Chinese software in cars? Sutcliffe simply said that Geely is an international group used to following the data protection and trade regulations of various countries, so they will do “whatever is necessary to follow those regulations when the time comes.” He gave the example of the European GDPRand although the interview does not connect the dots, the fact that they have taken advantage of such a framework to firmly assure that they will be in a market as complicated and hostile as the American one in the short term is a sign that they have given the matter more than one turn. Geely has an advantage here with Volvo, Polestar and Lotus. They are brands under their umbrella and already operate in the United States, but specifically, what Sutcliffe stated was that they want to land with Lynk & Co and Zeekr. North American Gate. There are two important questions. One is the tariff wall: 100% on electric vehicles from China. In practice, it would make it unfeasible for Geely to start selling cars because users would have to pay a premium that would make the brand simply unable to compete on price. But there are two safe passages. On the one hand, Geely build factories on American soil, a door opened by the Trump Administration if, with this, local employment is created. The Volvo factory South Carolina It would be an interesting and organic option for that local production. On the other hand, use brokers that export to US soil. There Canada can be the ace up your sleeve for the Chinese company. If they decide not to assemble the Zeekr/Lyn & Co in South Carolina, they can always import the vehicles from Canada and take them to the United States through that northern gate. Canada has recently moved from a 100% tariff Chinese electric vehicles at 6.1%. It is a very limited movement, since the initial quota will be 49,000 units per year. It’s a ridiculous number, but a start, and it could be a test bed for Geely to bring its 100% electric brands to the US from Canada. But hey, the United States is very aware of this and in fact, they have already saying that Canada “is going to regret it.” Feet of lead. With this management of brands like Volvo, Geely has an easier time than other Chinese competitors to get its foot in the US market, but there is an important nuance in all this. Geely has not said “in three years we will be selling thousands of cars,” but rather “in three years we will detail our plan to enter the United States.” However, although as we said, there is no specific public plan, it is evident that a statement like this implies that they are oiling the machinery to try do the same as in Europe. Now, taking into account the political climate and government maneuvers on issues such as trade or tariffs, things could change a lot in 36 months. Images | Zeekr, BYD In Xataka | Chinese cars are no longer just cheap: they are the world’s largest product experiment

It is the back door through which China avoids US tariffs

by

The Bac Luan 2 Bridge is the border that connects China to Vietnam. According to one Nikkei Asia researchit is also the back door through which China is sneaking its goods to continue selling in the US without being affected by tariffs. what’s happening. Chinese trucks form huge queues at the border town of Mong Cai every morning; They bring merchandise that will end up arriving in the United States, but first all traces of ‘Made in China’ are erased and the certificates of origin are changed so that it continues its journey as Vietnamese merchandise. The trick allows them to continue selling products while avoiding the high tariffs imposed by the Trump administration, always according to Nikkei. Why is it important. It highlights that the trade war is full of cracks. We have seen other similar “tricks” such as dropshipping of chips and also Chinese companies that have gained access to banned NVIDIA chips via Indonesia. What on paper seem like insurmountable walls are not so insurmountable in practice; Chinese companies respond by redesigning new supply chains to keep prices low and continue selling in the US. Re-export. It is the strategy that many Chinese companies are adopting, some even offer it as a service to their clients. Nikkei has had access to a document from a Chinese company in which they literally say “re-exporting through a third country is effective in avoiding high tariffs.” Another company urges its customers not to include Chinese characters on the packaging nor of course any reference to ‘Made in China’. Volume. Of course the process of changing the country of origin is done clandestinely and China evidently does not recognize this practice, but the volume of containers that have passed through the border in Mong Cai continues to increase. As of July 2025, this volume was 840,000 tons, 43% more than the same period last year. At the same time, exports between Vietnam and the US are also increasing. In addition, Nikkei has analyzed satellite images and found that the Mong Cai border has changed a lot recently; It is filling up with logistics centers and urbanizations with a strong presence of Chinese businesses. White and in bottle. Washington raises his eyebrow. Trump reached an agreement with Vietnam, but warned that would raise tariffs to 40% if it is proven that they are acting as a platform to divert exports. Vietnam is trying to calm the waters by pursuing these fraudulent export practices and in July of this year alone they uncovered 900 cases. The question is how many more are still sneaking in and not just in Vietnam, routes are also being diverted through Malaysia, Indonesia and others. Image | Daniel Fikri in Unsplash In Xataka | China already has an army of 5.8 million engineers. His new plan involves accelerating doctorates

one will give in on tariffs, the other on rare earths

by

Donald Trump and Xi Jinping They have met in BusanSouth Korea, in their first face-to-face meeting in six years. The goal: to see if there was any way to deal with all the chaos of their trade war, one that has shaken global markets and threatened to destabilize the world economy. After shaking hands at Gimhae air base, Trump stated that it was going to be a successful meeting, although he also warned that Xi is “a difficult negotiator.” What has been agreed. After approximately ninety minutes of talks, Trump assured that there would be significant tariff reductions. On the one hand, the president claims that tariffs related to fentanyl will drop from 20% to 10%which would place the total tariff burden on Chinese products at around 47%, compared to the previous 57%. Just like the media points outChina, for its part, has agreed to postpone for a year new restrictions on the export of rare earths processed, critical minerals for sectors such as defense, technology and renewable energies. In addition, Beijing will resume the massive purchase of American soybeans, a relief for North American farmers, tremendously affected by the absence of China in their market this year. Why is it important. This meeting comes after months of commercial escalation which has made investors and allies alike nervous. Logically, the fact that the two largest economies on the planet confront each other has consequences at a global level. Chinese restrictions on rare earths and lithium batteries threatened to cripple essential supply chains, while US tariffs on technology have curbed China’s ambitions in artificial intelligence. Furthermore, the agreement reached in Kuala Lumpur prior consultations sets the stage for a truce that, if fulfilled, could inject stability into a highly volatile global economy. We have to wait for results. Despite the optimistic tone, there is room for caution. Trump and Xi have already signed a “phase one” agreement in 2020 that forced China to buy more American agricultural products, something that Beijing barely complied with, according to words from WSJ. This time there are more elements at stake: the suspension of US investigations into Chinese maritime and logistics industries, review of technological export controls, advances in the case of TikTokrare earths, Taiwan and more. According to the Chinese Ministry of Commerce, both sides “have reached consensus while respecting principles of equality and mutual benefit.” It remains to be seen if that consensus ends up materializing. What was not touched. Trump claimed that Taiwan was not discussed at the meeting, allaying fears in Taipei about possible American concessions in exchange for trade advantages. Just like they explain From WSJ, the Secretary of State, Marco Rubio, had already publicly ruled out this possibility days before. Regarding Ukraine, Trump said they discussed the issue “extensively” and that both countries will work together to find a solution, although he did not give details. Curiously, according to point The Guardian, minutes before the meeting, Trump ordered the Pentagon to resume nuclear weapons testing, although the president later suggested it was not related to China. And now what. Xi has declared that both sides should “finish follow-up work as soon as possible” to implement the consensus reached. trump confirmed that he will visit China in April and that Xi will travel to the United States later. It remains to be seen if what Trump has loudly announced ends up materializing or if, on the contrary, it remains another meeting of unfulfilled promises. Cover image | Guardian In Xataka | China wants to achieve technological independence in the worst possible place for the US: its army

The US attacked China with tariffs and China has counterattacked by stopping buying meat from them. The big winner has been Australia

by

The United States was one of the main exporters of beef to China, but the tension between both countries and the tariff war has ended this relationship. The winner of the situation is Australia, which is already the country that exports the most beef to China, but also one of the main partners of the United States. What is happening. There was no official statement from the government. Last March, China did not renew its beef export licenses with the United States and has found a new partner to meet demand: Australia. Beef exports have increased 35% in the first half of the year and the Australian livestock sector has already invoiced 6.6 billion dollars, according to Nikkei Asia. Shipments to the Chinese market have grown by 65%, but they have also increased to the United States by 48%. It’s a double victory. Why it is important. China is the largest importer of agricultural products and is using this stance to harm the United States. They already did it with their decision to stop buying soybeans from the United Stateswhich was their main supplier, and now they have done it with beef. The beef trade between the United States and China produced around 120 million dollars a month. Now that number is zero. It is another example that dismantles Trump’s storywhich defends tariffs as a beneficial measure for the United States. Skyrocketing prices. The price of meat reached its all-time high last September, according to data from United Nations. In particular, the increase in the price of beef is caused by several factors. On the one hand, the decrease in production in countries such as the United States, New Zealand and Europe. In the United States specifically, the shortage has been caused because of the drought. On the other hand, tariffs and geopolitical tensions have put pressure on international market prices. The game board has been reconfigured, with the United States and China turning primarily to Australia and Brazil to meet their demand. perfect position. At least for the moment, Australia wins because it is in a good position with the main meat importers. In China they are already the first supplier of beef, while in the United States they are the second behind Brazil. The key is that while Trump imposed 50% tariffs on Brazilin Australia they only have 10% because they mainly export minced meat for hamburgers. Australia and China. There was not always harmony between the two nations. In 2020, China suspended imports of Australian beef. The reason given was labeling problems for some products, but everything indicates that the decision had more to do with the critical stance of the Australian government about China’s handling of the coronavirus. Image | Wikipedia, PXhere In Xataka | China has just beaten the United States in the most unexpected fight: that of branded coffee shops

The US launched a pulse to China with the tariffs and China has responded not buying soybeans. It is wreaking havoc

by

China is hungry. We have seen it recently with fish, sweeping sides of South Americawe also see it with The taste for coffee they are developing And with a product very culturally linked to Asian countries: soy. The problem is that the amount of soybeans that produce is marginal (about 20 million tons) and esteem that need between 120 and 130 tons to meet their demand. Who do they buy it? To Brazil and the United States, but with the tariff pulse of recent months launched from the administration of Donald Trump, China has decided that its response would be to make the emptiness to the American soy. And it is causing the silos of the farms to be burst. Brazil and Africa are delighted. Bassoon. To understand the current situation, you have to look a few years ago. Makes one decadeChina was an undisputed ally of the American soybean market. It is estimated that about 40% of the soy of the United States went to China, but with the arrival of different commercial vetoes, things began to change. In 2024, China bought about 20% of its soy to the US. It supposes more than 27 million tons of soybeans with an approximate value of about 12.8 billion dollars, but Things began to twist With the new commercial war. Due to Tariff crossing Applied by Washington and Beijing to their respective imports, there were doubts about what would happen to that star product and if, with high tariffs, it would remain equally appetizing for Chinese importers. We already have the answer. The photo in 2025. From January to July of this year, it is estimated that China imported 16.5 million tons of American soybeans, a ridiculous figure compared to that of previous years. The worst is comingsince a virtually zero soybean import from the United States for the last quarter in which we are going to enter, contrasting with the more than ten million tons in the same period of the previous year. In fact, if in 2024 20% of China’s agricultural imports from the US were only soybeans, this year it is estimated that the figure will remain in 12% imports for all agricultural products. North Dakota. As they point in New York Timesin a typical year, the United States would send more than half of its soy to China, having states like North Dakota that would sell 70% of its production to the Asian giant. With this change of course in the market, farmers face the risk of blockbuster, filling silos, but without the possibility of giving way to so many tons of product. The consequences are what we already know: brutal prices falls, loss of land value and rural economy, while farmers have to continue paying mortgages. In the 2019 commercial war, the administration offered aid to farmers to support the pressure of a China that did not buy them, but it remains to be seen in the near future while senior US and China officials will They gathered This week in Spain to discuss commercial decisions (With Tiktok’s highlight). As NYT points out in NYT report, farmers expect that of soybeans to be one of the issues to be discussed, since there are examples of farms that will lose up to $ 400,000 only this year, being an inasumable situation in some cases. China looks at Brazil. But of course, China is not stopping buying soybeans for both human consumption and for the consumption of livestock, what happens is that they are buying it to other producers. The US is the second worldwide, but above it has someone who is living a totally opposite situation: Brazil. With the commercial war of 2019, China has already begun to diversify looking at the Brazilian market, but these years has been combining both for mere interest: as noted ReutersUSA sent its soy between September and January, before the Brazilian harvest that starred in the rest of the months. In the middle they point out that China has gained soybeans so as not to have to buy the United States this season. HE esteem that the South American soy will cover 95% of the October China demand. Also to Africa. In parallel, China is exploring new origins for soybeans, especially in Africa. Although we talk about modest volumes, imports from Nigeria either Mozambique They have increased in recent months, being part of China’s strategy to diversify, minimize risks and, in addition, invest directly in areas with agricultural potential and in which they can have greater control. Because this strategy is something that we not only see with soybeans, but also with infrastructure both in Latin America (among it, Railways and ports) as in Africawhere they are investing in projects that allow access to critical minerals and metals. It is something that reinforces its position geopolitics in front of the United States while diversifying their sources for ensure stability and continuous supply. In Xataka | There is so many demand for fish in China that has opted for drastic measures: two “aircraft carrier” as a hatchery

Chery trusted Spain to assault the European market without tariffs. Europe has another opinion

by

Europe, China and cars. A bomb that, for now, has resulted in the imposition of tariffs on the electric car. The European objective is that Chinese manufacturers invest in Europe if they want to sell their electric cars at the price that pleases them. Chery thought that Spain would be his gateway to the market of our continent. The European Commission believes that it is not enough. “It’s not a good model”. The definition is by the Executive Vice President of the Commission for Prosperity and Industrial Strategy, Stéphane Séjourné. The Frenchman expressed in these terms collected by The newspaperwhile ensuring that relations between China and Europe are “in the midst of nowhere.” What is about the model that Chery has implemented in Barcelona, ​​a factory where, at least for the moment, only cars that previously arrive mounted from China are completed. It is the easiest way to put the label Made in Spain to a product that, in reality, has very little of Spanish. DKD. Or, what is the same, Direct Knock Down. This is what the way of working is called that Chery employ in Barcelona. In summary, cars arrive in semi -ado containers and the only thing that is done in Spain is to finish marrying the last parts as if they were the four large groups of pieces of a puzzle that, in reality, is made up of thousands of them. The process is so advanced that, in fact, cars in Barcelona are not even painted. The intention, in the future, is to jump to the CKD (Complete Knock Down), in which the pieces do not arrive welded or painted but do produce entirely in China. The cars produced under this system are the Ebro that, although rescue the name of a Spanish brand, They are actually entirely Chinese. “Low quality”. In his statements, Séjourné, has insisted that “a factory on the outskirts of Barcelona in which a car occurs with all Chinese components generates Low quality jobs And it does not suppose any added value for the European industry. “And he emphasizes:” The solution does not go on to maintain tariffs, but neither by a factory in Barcelona in which cars are assembled with all Chinese components. “ Although hard, the words of the vice president of the commission are not new in the car market. In fact, Chery had already received Europe’s notice that, working in this way would not free him from tariffs to his electric cars. At the moment, the Omoda 5 and Jaecoo 7 They continue to arrive from China but as they have combustion engines they are not taxed with tariffs. The electric omoda 5, however, is punished with a fee that in the case of Chery reaches 21% (which adds to 10% base for all cars from China, electric and non -electric). It is no accident that the company has delayed its incorporation to the Catalan plant without the confirmation of taking out its cars through the doors of the free zone without being punished with tariffs. “In nobody’s land”. As we said, Séjourné pointed out that negotiations between Europe and China are stopped. In his day, Europe taxed tariffs on Chinese electric cars but left the door open to those who take combustion engines, both pure and plug -in hybrids. This was seen as a hand tended to negotiation. Not imposing tariffs on this type of cars has allowed Chinese brands to have taken advantage of the entrance door of countries where cheaper cars are bought, such as Spain. In fact, Chery herself with just six cars in the market (distributed between Ebro, Omoda and Jaecoo) They already add more than 19,800 units In the first eight months of the year. And only three of those six cars have been selling the full year. That open door to a negotiation seemed to consolidate a few months ago. In April it was confirmed that Europe and China seemed willing to reach some kind of agreement between the two countries. The last thing we have known since then have been these last statements. They are not the only. What Europe wants is that Chinese manufacturers invest in our continent and generate business here. To skip those tariffs, everything indicates that companies have to assemble their cars in our soil but also generate a local industry that generates value through the Component provision. This way of acting by Chinese manufacturers is not something exclusive that they do in Europe. Byd is used very similarly in Thailand. But European manufacturers are also used in the same way in those markets that are veiled with tariffs, as happens in Algeria. Country that, tired of these practices, has already warned Renault that they will have to invest more money. Photo | Ebro In Xataka | That Chery has chosen Spain is not accidental: it may be its saving letter to the investigations of the European Commission

Log In

Forgot password?

Forgot password?

Enter your account data and we will send you a link to reset your password.

Your password reset link appears to be invalid or expired.

Log in

Privacy Policy

Add to Collection

No Collections

Here you'll find all collections you've created before.