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After the sanctions on Chinese EVs, China’s retaliation will cost Canada approximately $950 million
After the sanctions on Chinese EVs, China’s retaliation will cost Canada approximately $950 million
In May this year, the United States announced that it would impose additional tariffs on a series of strategic products such as electric vehicles and semiconductors from China.
The European Union followed suit and also launched an anti-subsidy investigation on Chinese imported cars. Even Canada, which has always maintained a relatively stable trade relationship with China, has joined the ranks of restricting Chinese imports.
In August this year, the Canadian Ministry of Finance announced that it would impose tariffs of up to 100% on Chinese electric vehicles, and a 25% tariff on steel and aluminum products. Many people believed at the time that these harsh measures would deal a heavy blow to China's manufacturing industry.
However, unexpectedly, less than a day after Canada announced these tax increase policies, China immediately responded strongly and launched four countermeasures in succession. According to industry insiders, one of the countermeasures may cause Canada to directly lose about US$950 million. But what puzzles us is why Canada suddenly took tough sanctions against Chinese electric vehicles? What kind of counter-sanctions has China launched against Canada now?
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