China and the EU reached an “understanding” on hybrid vehicles on Friday, October 9, according to Le Monde, as their commerce chiefs concluded talks with an agreement to strengthen dialogue, dispelling fears of a full-blown trade war.

Trade chiefs Maros Sefcovic and Wang Wentao agreed that both sides would adhere to “procedures concerning company price undertakings” for hybrid cars, according to China’s Commerce Ministry, citing a joint statement.