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The European Union and China have reached an agreement aimed at reducing China's exports of hybrid and plug-in hybrid cars to the EU, which could result in a sharp decline of more than half in those exports. This comes amid escalating trade tensions, as Europeans seek balance in their trade relations, facing a trade deficit that exceeds two billion euros daily, especially with increased pressure to impose tariffs on Chinese automobiles. Chinese cars account for approximately a quarter of hybrid car sales in Europe. The European Commission is working on measures to limit Chinese imports, in addition to opening the European market to other Chinese products, with warnings of possible protective actions if progress is not achieved soon.
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