Japan Urges EU To Reconsider EV Decision

Japan plans to urge the European Union (EU) to reconsider policies that favor electric vehicles (EVs) manufactured within the bloc, AzerNEWS reports.

Tokyo intends to raise this issue, which is crucial for the Japanese automotive industry, during the Japan-Europe High-level Economic Dialogue scheduled to take place in Brussels next month. The goal is to push for fair treatment of vehicles produced outside the EU.

Under Brussels' current proposal, to qualify for subsidies, at least 70% of a vehicle's components-excluding batteries-must be manufactured within the EU. The EU also plans measures to reduce the cost of purchasing and maintaining locally produced vehicles, giving them a competitive edge.

The proposal still requires approval from EU Member States and the European Parliament and may be subject to revisions. Following ministerial-level talks in May, Japan hopes the matter will be addressed at the next bilateral summit, possibly in June.

A representative of the Japanese automotive industry warned,“If our vehicles are excluded from these support measures, our sales will face a significant disadvantage.”

Experts suggest that the outcome of these discussions could have far-reaching implications-not only for Japanese automakers but also for global EV supply chains. Some analysts note that the dispute highlights growing tensions in international trade as countries strive to protect domestic industries while promoting green technology.

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