The European Commission told China on Monday to open up its market further to imports from European car manufacturers or face a legal challenge at the World Trade Organisation.

Brussels said that car manufacturers from the European Union still faced obstacles in China, including “favouritism towards domestic producers, investment restrictions, local content constraints and weak enforcement of intellectual property rights”. The Commission added that it would “continue its close monitoring of Chinese business and regulatory developments with a view to assessing the possibility of success at an eventual WTO dispute settlement panel if the existing situation does not improve”.