The European Union is preparing to impose a cap on Chinese hybrid electric car imports, with trade commissioner Maroš Šefčovič flying to Beijing this week for two days of talks aimed at securing voluntary limits before Brussels moves to enforce them through formal quotas or safeguards.

The push follows a familiar pattern: after the EU imposed tariffs on Chinese electric vehicles in October 2024, Chinese manufacturers rapidly pivoted to hybrids, which fell outside those measures and promptly flooded European markets. Last month, Brussels formally asked Beijing to voluntarily limit hybrid exports, warning that binding quotas could follow if it refused. Those warnings are now being backed with direct diplomatic pressure.

The immediate goal, according to sources close to the talks, is a "tangible, meaningful and measurable" pilot agreement in the automotive sector — a proof of concept that could be extended to other industries — before EU leaders convene in Brussels the following week, where China sits firmly on the agenda.

The talks arrive at a moment of genuine political shift inside the EU. Germany's Chancellor Friedrich Merz has this week aligned himself with a tougher collective stance on Chinese imports, a significant break from Berlin's traditionally cautious position and one that gives Brussels considerably more room to push hard in Beijing.