Biden signed the Caihua Act, both South Korea and the European Union were reluctant to fight with the United States

The EU Council Executive Vice Chairman and Trade Specialist East Brovskis said in an interview that the EU is evaluating whether the policy of electric vehicle subsidies has violated the World Trade Organization (WTO) criteria for the "inflation reduction bill" by the European Union. Because there are some discriminatory factors in the bill.

According to the "Activity Act", the U.S. government will provide subsidies to electric vehicles assembled in the United States. At the same time, the raw materials used in the battery of electric vehicles still have requirements. 40%of the raw materials must be from North America. By 2027, it must rise to 80%. In addition, the subsidy also mentioned that from 2024, it will be disabled in electronic components in China and raw materials from China from 2025.

New energy vehicles are the general trend, and batteries are one of the core components of electric vehicles. The United States has strictly restricted the assembly and batteries of electric vehicles. At the same time, China also specifically mentioned China, indicating that this is a Chinese bill of curbing China.

After the US President Biden signed the bill, it is generally interpreted as a new energy vehicle field for China. Because China's new energy vehicles are developing very quickly, it is expected to use new technologies to achieve curve overtaking in the automotive field. Act, inappropriate competition.

However, soon South Korea found something wrong. South Korea's electric vehicles have been selling well in the United States, and the market share is second only to Tesla. After the United States introduced the "Activity Act", South Korean electric vehicles instantly lost their competitiveness in the U.S. market. American electric vehicles can get up to $ 7,500 subsidies, while South Korean cars have nothing. Essence

South Korean media pointed out that Korean car companies, industries, and governments are very shocked because almost all Korean electric vehicles can no longer enjoy subsidies. In addition, South Korea also faces a problem. In the field of battery, South Korea also highly relies on China's components and raw materials. Therefore, although the bill did not mention South Korea, it was seriously injured in South Korean car companies, and it was almost killed.

At present, South Korea is starting to solve this, because cars are one of the pillar industries in South Korea. If the US economy cannot be included in the subsidy range, the South Korean economy will be affected by a lot. There are two main directions considered by South Korea. One is to talk to the United States well, specialize in forming a team, and go to the United States to negotiate with Biden authorities. The other is to file a lawsuit against the United States in WTO.

However, neither of these two plans cannot solve the problem. Since the United States has issued a bill, it must be considered the consequences. If South Korea does not pay some costs, it is impossible to make the United States amend the bill out of thin air.

And just when South Korea was in trouble with the United States, the European Union did not do it. The European Union accused the United States of intentionally creating barriers to allies. The purpose was to make American cars more popular than cars in other countries. Sex will punish EU manufacturers. Some European media also mentioned that the United States' move may violate the rules of WTO and implies that they will also file a lawsuit against the United States.

What does this bill in the United States mean that they all know that they are typical "U.S. Priority" policy, which is clearly told car companies in other countries that if they want to get subsidies, come to the United States to invest in the United States. Provide Americans with employment.

If you are not assembled in the United States, do not use the US raw materials to manufacture batteries, and do not allow the United States to make this money, then don't want to compete with local companies.

Therefore, it is almost impossible to change the United States. Although South Korea and the European Union are all allies in the United States, when involving their own interests, the United States does not have any allies or allies, and there is a competitive relationship. For their own interests, it is impossible to consider the interests of the allies at all, and even satisfy their own interests by sacrificing the interests of the allies.

It is expected that South Korea and the European Union are noisy emotions. In the end, even if they have troubled WTOs, it may be difficult to solve the problem.

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