Italian deputy PM talks up autos ties with China amid EU trade tensions

BEIJING – Italy’s Deputy Prime Minister talked up cooperation with China in the auto industry during an interview with state news agency Xinhua, even as Beijing faces scrutiny from the European Union over extending unfair subsidies to its carmakers.

Mr Matteo Salvini, who is also Italy’s transport minister, said “the two countries enjoy broad prospects for cooperation in automobiles, smart roads and other transport areas”, according to an interview published on Sept 19.

“When we are working to raise train speeds to 300kmh, China is already exploring 400kmh, 450kmh and even 500kmh, while also advancing in autonomous driving, artificial intelligence and innovation,” he was quoted by Xinhua as saying during a visit to China.

Despite voting in favour of the European Commission’s 2024 decision to impose tariffs on Chinese electric vehicles, Italy has tried to stay in Beijing’s good books, consistently talking up the merits of Chinese firms and investment in Europe.

By keeping the door open to more Chinese investment, Italian Prime Minister Giorgia Meloni managed to burnish ties with Beijing during a visit in July 2024, even after announcing that the eurozone’s third-largest economy would leave Chinese President Xi Jinping’s flagship Belt and Road infrastructure initiative.

Mr Salvini told Xinhua that he saw “great potential” in infrastructure development.

China and the European Commission, which handles trade policy for the 27-strong bloc, are embroiled in trade tensions that analysts attribute to Brussels’ decision to impose import tariffs to ward off a flood of cheap Chinese electric vehicles.

Beijing has retaliated by placing anti-dumping duties on European pork and brandy, and by probing its dairy sector. REUTERS