Involving Volkswagen SUVs being exempt from EU tariffs, dairy products being taxed, and close communication between China and the U.S., the Ministry of Commerce responded intensively today!

On February 12, the Ministry of Commerce held a regular press conference, where the spokesperson responded to questions regarding the tax exemption for Volkswagen SUVs, the anti-subsidy investigation of dairy products, and Sino-U.S. communications. Here are the key points from the press conference:

Ministry of Commerce Responds to EU's Approval of Tax Exemption for a Chinese Brand SUV

A reporter asked: The European Commission has approved a tax exemption for a Volkswagen brand SUV manufactured in China, which will now be imported under a minimum price and quota model. Does the Ministry of Commerce of China support electric vehicle manufacturers negotiating case-by-case with the EU?

Ministry spokesperson He Yadong stated that previously, through multiple rounds of consultations, both China and the EU achieved a "soft landing" for the electric vehicle case under the framework of World Trade Organization rules, which has been widely welcomed by the international community and various sectors of the China-EU industry. According to the consensus reached during consultations, both sides support Chinese electric vehicle companies making good use of price commitments. The EU has specifically issued guiding documents formed after the consultations and promised to adhere to non-discrimination principles and conduct evaluations objectively and fairly. The deep integration of the China-EU automotive industry is mutually beneficial. The Chinese side hopes the EU will earnestly implement the important consensus reached during the meetings of the leaders of China and the EU and the results of the case consultations, and looks forward to more Chinese companies reaching agreements with the EU on price commitments. China is willing to continue dialogue and communication with the EU to create an open and stable market environment for the development of China-EU industries.

EU Dairy Companies' Tax Rates Range from 7.4% to 11.7%, Implementation Period of 5 Years

A reporter asked: On February 12, the Ministry of Commerce announced the final ruling on the anti-subsidy investigation of imported dairy products originating from the EU. Can you provide details about the case?

Answer: At the request of the domestic industry, the Ministry of Commerce initiated an anti-subsidy investigation on imported dairy products originating from the EU on August 21, 2024. The Ministry conducted the investigation in accordance with the principles of fairness, justice, openness, and transparency, strictly following relevant Chinese laws and regulations as well as WTO rules, widely soliciting opinions from all stakeholders, and fully safeguarding the rights of all parties, resulting in an objective and fair investigation conclusion.

The ruling report indicates that imported dairy products originating from the EU received subsidies that caused substantial harm to the relevant industries in China, and a causal relationship between the subsidies and the substantial harm was established. On February 12, 2026, the Ministry of Commerce issued the final ruling, determining the tax rates for EU companies to be between 7.4% and 11.7%, and decided to implement anti-subsidy measures starting from February 13, 2026, for a period of 5 years.

Ministry of Commerce: China and the U.S. Maintain Close Communication at All Levels Through Economic and Trade Consultation Mechanism

A reporter asked: The U.S. Treasury Secretary stated that his team met with Chinese officials in Beijing last week to prepare for the upcoming high-level talks. Can you provide more details?

Ministry spokesperson He Yadong stated that the economic and trade teams of China and the U.S. maintain close communication at all levels through the economic and trade consultation mechanism, exchanging opinions in a timely manner on implementing the consensus reached during the meeting of the two heads of state in Busan and the results of the Kuala Lumpur economic and trade consultations, as well as addressing each other's concerns in the economic and trade fields. China is willing to work with the U.S. to act in accordance with the consensus reached during the meetings and calls between the two heads of state, adhering to an attitude of equality, respect, and mutual benefit, strengthening dialogue and communication, properly managing differences, expanding practical cooperation, and promoting the healthy, stable, and sustainable development of Sino-U.S. economic and trade relations The following is the original text from the Ministry of Commerce:

[He Yadong]:

Dear journalist friends:

Good afternoon, everyone. Welcome to the regular press conference of the Ministry of Commerce. Today, I have no information to report to you. I am now willing to answer questions from journalist friends.

Please ask your questions.

[Southern Metropolis Daily Reporter]:

Yesterday, the national-level overseas comprehensive service platform was officially launched, attracting attention from all sides. Could the spokesperson introduce the highlights of the upgraded platform?

[He Yadong]:

On February 11, the national-level overseas comprehensive service platform officially went live. This is an important measure to implement the spirit of the Fourth Plenary Session of the 20th Central Committee of the Communist Party and to improve the overseas comprehensive service system. In October 2025, with the approval of the State Council, the Ministry of Commerce and other departments issued the "Guiding Opinions on Further Improving the Overseas Comprehensive Service System." According to the requirements, the Ministry of Commerce integrated various resources and upgraded the original "Going Global" public service platform to a national-level overseas comprehensive service platform, providing enterprises going abroad with a full-process, full-chain "one-stop" public service. The upgraded platform mainly presents three characteristics:

First, it enhances the authority of the content system. The upgraded platform integrates service resources from legal, financial, tax, foreign affairs, economic and trade, logistics, customs, and trade promotion fields. The total number of columns has significantly increased, setting up seven main columns: news dynamics, data on "Going Global," public services, professional services, online services, various platforms, and website collections, with a total number of sub-columns exceeding 260, which is four times the number of columns in the original "Going Global" public service platform, further enhancing service accuracy and practicality.

Second, it enhances integrated comprehensive services. The upgraded platform has added a main column for "various platforms." Currently, dozens of sub-platforms, including local, departmental, institutional, and industry associations, have connected to the national-level overseas comprehensive service platform. Focusing on regional and professional characteristic services, it connects various platforms such as Tax Road Pass, Trade Law Pass, National Intellectual Property Public Service Platform, and Renminbi Cross-Border Payment System, forming a service model of the national-level overseas comprehensive service platform + various sub-platforms.

Third, it enhances user experience convenience. The upgraded platform has strengthened functions such as page layout planning, interactive design, service navigation, and information retrieval. Overall, the convenience of user operations, interface friendliness, and response speed have been significantly improved.

In the next step, the Ministry of Commerce will work with all parties to focus on "national-level overseas comprehensive service platform + local overseas comprehensive service ports + overseas comprehensive service stations + professional institutions' international service capability enhancement," accelerating the creation of an overseas comprehensive service ecosystem that promotes central-local linkage, regional collaboration, resource aggregation, and internal-external connectivity, aiming to enhance the international competitiveness of outbound enterprises, standardize enterprises' overseas investment and operation behaviors, and protect enterprises' legal rights and interests abroad, continuously promoting the quality supply and efficient matching of outbound service resources, and supporting the stable, safe, and healthy development of outbound enterprises. Thank you.

[CCTV News Reporter]:

Recently, we noticed that the Central Document No. 1 for 2026 clearly proposed to optimize the regional layout of the silk and cocoon industry. What considerations does the Ministry of Commerce have for promoting this work?

【He Yadong】:

Thank you for your question. The Central Document No. 1 has for the first time included content related to the silk and cocoon industry, reflecting the high importance the Central Committee of the Communist Party of China and the State Council place on the development of the silk and cocoon industry. The Ministry of Commerce will earnestly implement and continuously promote the "Eastern Silk, Western Solid" initiative. The so-called "Eastern Silk, Western Solid" refers to coordinating the resource endowments and industrial foundations of the silk and cocoon industry in different regions, promoting an orderly domestic transfer of the industry, and creating new international competitive advantages. We strive to exceed a total output value of 300 billion yuan for the national silk and cocoon industry by 2028. We will carry out work mainly in two aspects.

On one hand, we will strengthen policy support and provide comprehensive service guarantees. In November 2025, the Ministry of Commerce and seven other departments issued the "Notice on Carrying Out the 'Eastern Silk, Western Solid' Work for the Silk and Cocoon Industry," proposing three aspects and nine key tasks to guide localities in formulating specific measures based on local conditions and accelerating policy implementation. At the same time, we will improve the work coordination mechanism, strengthen departmental collaboration, guide industry associations and local silk offices to regularly track the progress of key projects, enhance "one-on-one" contact services, address the actual demands of enterprises, and provide good conditions for optimizing the regional layout of the industry.

On the other hand, we will build cooperation platforms to promote the industry towards new and better development. We will focus on key areas, strengthen technological leadership and quality upgrades, such as factory-based sericulture, CNC weaving, and green dyeing, to create a radiation effect that drives the silk and cocoon industry in the central and western regions to extend and supplement the industrial chain, enhancing the core competitiveness of the industry. We will create a comprehensive information database to gather investment intentions from leading enterprises in the east and the investment promotion policies of key cities and counties in the central and western regions, providing foundational support for inter-regional cooperation. We will also organize activities such as the Silk Expo and the "International Silk Consumption Season," facilitating product displays, regional promotions, project negotiations, and other matchmaking activities to strengthen communication and cooperation, and promote the effective implementation of projects. Thank you.

【Reporter from the American International Market News Agency】:

The U.S. Treasury Secretary stated that his team met with Chinese officials in Beijing last week to prepare for the upcoming high-level talks with the Vice Premier. Could you provide more details?

【He Yadong】:

The economic and trade teams of China and the U.S. maintain close communication at all levels through the economic and trade consultation mechanism, exchanging opinions in a timely manner on implementing the consensus reached during the meeting between the two heads of state in Busan and the results of the Kuala Lumpur economic and trade consultations, as well as addressing each other's concerns in the economic and trade fields.

China is willing to work with the U.S. to follow the consensus reached during the meetings and various calls between the two heads of state, adhering to an attitude of equality, respect, and mutual benefit, strengthening dialogue and communication, properly managing differences, expanding practical cooperation, and promoting the healthy, stable, and sustainable development of China-U.S. economic and trade relations. Thank you.

【Reuters Reporter】:

I have two questions. The first question is that the European Commission has approved a tariff exemption for a Chinese-made Volkswagen brand SUV, which will be imported under a minimum price and quota model. Does the Ministry of Commerce of China support electric vehicle manufacturers negotiating case by case with the EU?

The second question is when will the Ministry of Commerce announce the tariff adjustments for Canadian canola and related agricultural products? There are rumors that the anti-dumping tariff on Canadian canola will be between 5.5% and 6%. Is this true?

【He Yadong】:

Regarding your first question, previously, through multiple rounds of consultations, both China and Europe achieved a "soft landing" for the electric vehicle case under the framework of World Trade Organization rules, which has been widely welcomed by the international community and various sectors including China and Europe’s industries. According to the consensus reached during the consultations, both sides support Chinese electric vehicle companies in making good use of price commitments. The European side has specifically issued a guiding document formed after the consultations and has committed to adhering to the principle of non-discrimination and conducting evaluations objectively and fairly.

The automotive industries of China and Europe are deeply integrated and mutually beneficial. We hope the European side will earnestly implement the important consensus reached during the China-Europe leaders' meeting and the results of the case consultations, and we look forward to more Chinese companies reaching agreements with the European side on price commitments. The Chinese side is willing to continue dialogue and communication with the European side to create an open and stable market environment for the development of China-Europe industries.

Regarding your second question, during Canadian Prime Minister Carney's visit to China in January, both China and Canada made specific arrangements to properly resolve trade issues in the fields of electric vehicles, steel and aluminum products, canola, and agricultural and aquatic products. The Canadian side will make positive adjustments regarding the unilateral measures taken against Chinese electric vehicles and steel and aluminum products. The Chinese side will also adjust its anti-discrimination measures against Canada accordingly based on relevant laws and regulations. Regarding the anti-dumping measures on Canadian canola, given the complexity of the case, the investigation period has been extended to March 9, 2026, and the Ministry of Commerce will issue a final ruling announcement before that date. The Ministry of Commerce will fully consider the reasonable demands of the Canadian side within the framework of the rules and make an objective and fair final decision based on facts and evidence. Thank you