Japan to Press EU Over EV Policy Seen as Favoring Domestic Makers

(MENAFN) According to reports, Japan is preparing to urge the European Union to revise a proposed electric vehicle policy that could give preference to vehicles manufactured within the bloc.

Kyodo News reported that Tokyo is expected to raise the issue during the Japan-EU High-Level Economic Dialogue scheduled to take place in Brussels next month, arguing that vehicles produced outside the EU should receive fair treatment.

Under the proposal, at least 70% of a vehicle’s components—excluding batteries—would need to be produced within the EU in order to qualify for subsidies. The plan also includes additional measures aimed at reducing the purchase and maintenance costs of vehicles made inside the bloc.

The policy has not yet been finalized and still requires approval from EU member states as well as the European Parliament, meaning further changes remain possible.

Following the upcoming ministerial discussions in May, Japan reportedly hopes to revisit the issue during a regular bilateral summit that may be held in June.

A representative from a Japanese automotive manufacturer warned, as cited by Kyodo News, that exclusion from the support scheme could negatively impact sales, saying, “If our cars are exempted from the support measures, our sales will be put at a disadvantage.”

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