The CEO of German luxury carmaker Mercedes-Benz called on Monday for the European Union to de-escalate the dispute with China over tariffs on electric vehicles, stressing the importance of finding a solution to the issue.

"We need more free trade instead of new trade barriers. That is why it is important to find a solution that suits both the EU and China," chief executive Ola Kallenius told the Monday edition of Bild newspaper.

"The negotiations for this take time. In order not to jeopardize them, the EU should postpone the enforcement of the planned tariffs," he said.

At the start of the month, a majority of EU countries paved the way for additional tariffs of up to 35.3% on battery-powered electric vehicles imported from China. Germany, however, voted against the measure amid concerns over retaliatory actions that could hurt the country's giant car industry.

The European Commission had pressed for extra tariffs after an investigation accused Beijing of subsidizing domestic electric car manufacturers and thus distorting the market in the EU.

But whether the import tariffs will actually come into force at the beginning of November is still up to the commission.

The plans can still be dismissed if Brussels reaches a solution with China at the negotiating table.