Finance Minister Lars Klingbeil has urged the European Union to extend tariffs to Chinese-made plug-in hybrid vehicles, warning that imports are putting growing pressure on European carmakers. He made the comments on September 17, 2026, during a visit to Volkswagen’s basic plant in Wolfsburg, highlighting the issue’s importance to Germany’s manufacturing sector.
After meeting with Volkswagen’s works council, Klingbeil urged the EU to send a "clear signal" to Beijing by broadening trade measures and tightening local content rules for vehicles sold in Europe. "We cannot be naïve in our relations with China," he said, calling for a firm response from Berlin and Brussels. Volkswagen’s works council chair, Daniela Cavallo, also backed tariffs on Chinese hybrids, adding industry support to the government’s call for tougher action.
German carmakers are watching Chinese competitors gain ground in the hybrid and electric markets. The push for stricter trade barriers comes as domestic brands try to hold their position in a fast-changing industry. Volkswagen and its workforce in Wolfsburg have become a focal point for these concerns. Industry reports say Chinese manufacturers are increasing their share of the European hybrid segment, taking advantage of the fact that these vehicles face only standard import duties, unlike battery electric cars, which face higher tariffs.
Klingbeil is also calling for stricter local content requirements so vehicles sold in Europe include more European-made parts. This would limit the advantage of Chinese manufacturers that assemble cars abroad and ship them into the EU at lower cost. France24 has reported that the proposals form part of a wider EU debate over how to respond to China’s growing role in the automotive sector and the risks to Europe’s industrial base.
Google/SpainAuto reported that the German government’s stance reflects growing urgency among European policymakers. Debate over how to respond to China’s automotive expansion is intensifying, with some industry leaders warning that inaction could weaken Europe’s manufacturing sector. Recent developments in Spain, where Chinese automakers have increased their presence, add to the challenge. Chinese brands are also investing directly in European production alongside exports, as reported earlier.
Reuters reported that discussions in Berlin and Brussels also include proposals for broader economic security measures targeting Chinese automotive imports, as part of a potential package to protect the EU market from subsidized competition. Germany’s push signals a shift from cautious talks to open support for protectionist measures. The EU has not announced new policies, but Klingbeil’s comments increase pressure on Brussels to act. The outcome will affect the competitive field for years. Berlin is signaling that Europe’s carmakers are not ready to give up ground. Brussels’ next steps will show whether the EU is prepared to defend its industry or risk losing it to foreign competitors.
