China is investigating whether to raise tariffs on European large-engine vehicles and will start collecting levies on brandy, escalating a trade spat after the European Union decided to impose tariffs on Chinese electric vehicles.

China warns EU against separate EV pricing talks, urges resumption of negotiations, and threatens retaliation if EU imposes high tariffs on Chinese EVs amid ongoing trade tensions.

China urged the European Union on Saturday not to conduct separate negotiations over the price of China-made electric vehicles sold in the EU, warning that this would "shake the foundations" of bilateral tariff negotiations.

China urged the European Union not to conduct price negotiations with individual electric vehicle manufacturers, as eight rounds of negotiations in Brussels failed to result in an agreement over planned tariffs by the bloc.

Chinese drinkers may pay more for Remy Martin and other European brandies after the government announced provisional tariffs of 30.6% to 39% on Tuesday.

European luxury shares have slid on investor concerns that Hermes handbags and Dior slingbacks may be Beijing's next targets for retaliation, following the EU's decision to slap tariffs on China EVs,

European distiller stocks fell sharply after China said it would impose antidumping tariffs on brandy imported from the European Union, deepening tensions between the two trading powers.

The latest negotiations over European Union tariffs on Chinese electric vehicles ended in Brussels with "major differences" remaining, Beijing's commerce ministry said Saturday.

European Union officials are bracing for an onslaught of retaliatory trade actions after a team of Chinese officials tasked with resolving an EV tariff row were hauled back to Beijing over the weekend.

China plans to impose provisional antidumping tariffs on European brandy, ranging from 30.6% to 39%, and reversing from an earlier stance.

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