EU and China reach understanding on hybrid vehicle trade

China and the European Union reached an “understanding” on hybrid vehicle trade after two days of talks in Beijing, China’s commerce ministry said. It gave no details, and the European Commission had not confirmed a specific export cap. Earlier reports said the EU sought a voluntary limit on Chinese hybrid exports, aiming to reduce their share of the European car market. The discussions took place alongside negotiations over Chinese electric-vehicle tariffs and a broader trade imbalance. Both sides said they would continue talks.