China agrees to curb hybrid car exports to the EU after Beijing talks

What happened

China has agreed to moderate its exports of hybrid and plug-in hybrid cars to the EU, which EU trade commissioner Maroš Šefčovič said could cut them by more than half. He announced it on Friday in press remarks in Beijing, after the second round of EU-China trade and investment consultations.

Government and policy China agrees to curb hybrid car exports to the EU after Beijing talks Beijing will also cut tariffs on some EU goods and ease rare earth licensing. October 12, 2026 - 8:15 am China has agreed to moderate its exports of hybrid and plug-in hybrid cars to the EU, which EU trade commissioner Maroš Šefčovič said could cut them by more than half.

He announced it on Friday in press remarks in Beijing , after the second round of EU-China trade and investment consultations. EU leaders must still approve the curb on hybrid car exports, which Šefčovič called only a first step.

“It is unsustainable and it demands a credible path to rebalancing,” Šefčovič said of the EU’s trade deficit with China. He called the results three “shared understandings”.

China will also cut its tariffs on some EU goods, including car parts, olive oil and footwear. Those exports are worth almost €4bn, and the cuts would save at least €225m in duties. No volumes or timeline yet The Commission has not published a written agreement.