The European Commission has launched an anti-subsidy investigation into Chinese tyres for cars, light trucks and buses, citing evidence of unfair government support, reports Reuters.

The probe follows an ongoing anti-dumping review initiated in May and is part of 17 new investigations targeting Chinese goods amid rising import volumes and growing trade tensions.

The Coalition Against Unfair Tyre Imports, representing EU manufacturers, claimed Chinese tyre imports have surged 51 per cent since 2021, with prices 30 to 65 per cent lower than those of EU producers.

Alleged subsidies include grants, preferential loans, tax breaks and access to land and electricity at below-market rates, which the coalition says have distorted competition and harmed EU industry.