China and the European Union are set to engage in talks to address a tariff dispute worth billions of dollars. The European Union plans to impose tariffs on electric cars from China, leading to discussions between China’s commerce minister and the EU trade commissioner. Germany’s economic minister expressed hopes of avoiding tariffs, as the European Commission proposed tariffs of up to 38 percent on Chinese electric cars due to government subsidies. China's state-controlled banking system has heavily supported its electric car sector, posing a challenge to European automakers. The negotiations showcase the high stakes involved in the trade dispute, with both sides seeking a resolution to prevent further economic tensions.