Germany is reportedly attempting to prevent the European Union’s new tariffs on Chinese electric vehicles from coming into force or at least soften them.

German government officials are optimistic that the EU will be able to find a solution in direct talks with China, according to Bloomberg News.

German carmakers will be the most exposed to any retaliatory moves from Beijing as almost a third of their sales came from China in 2023, trade data shows.

China threatened legal action against the EU on Thursday in the wake of the new tariffs, saying it “reserves the right” to file a suit with the World Trade Organisation.

The European Union warned this week it would slap additional tariffs of up to 38pc on Chinese electric car imports from next month after an anti-subsidy investigation.

Read the latest updates below.