BMW is in advanced talks with the European Commission about a potential minimum pricing mechanism to replace EU tariffs on its China-made Mini battery-electric vehicles.

The discussions involve setting a minimum import price that would address EU concerns over Chinese subsidies.

The talks come after a similar deal between Brussels and Volkswagen Group, which secured a tariff exemption for its Seat/Cupra Tavascan EV.

Currently, China-built Mini Cooper Electric and Mini Aceman models—produced in a joint venture with Great Wall Motor—face a 20.7% duty when imported to the EU.

BMW aims to reach an agreement before the case is legally decided, expected by mid-year.

The European Commission emphasised that offers from companies to address Chinese subsidies are welcome, provided they are practical and mitigate cross-compensation risks.