EU could trigger 'trade war' if it continues to escalate tensions, China warns

The European Union could trigger a 'trade war' if it continues to escalate tensions, China's commerce ministry said on Friday, accusing the bloc of foul play during its eight-month anti-subsidy probe into Chinese electric vehicles. Last week, the European Commission proposed tariffs of up to 38.1 per cent on electric vehicle imports from China despite Beijing's protest, plunging trade ties to a new low and risking punitive retaliatory action. "The European side continues to escalate trade frictions and could trigger a 'trade war'," a statement attributed to the commerce ministry's spokesperson said. "The responsibility lies entirely with the European side."…