European leaders have asked the European Commission to investigate how the EU’s trade interests can be better protected. This includes examining whether existing instruments are sufficient and if new measures are necessary.
Cars and Steel
According to the leaders, Chinese subsidies and large production capacity make it increasingly difficult for European companies to compete. Concerns are growing especially in sectors such as electric cars, batteries, and steel about the impact of cheap Chinese products on the European market.
The Commission is given the space to develop new proposals. At the same time, member states emphasize that consultations with China must continue. Another meeting between representatives of both parties is scheduled later this month.
Promotion
Less Dependence
Support for a tougher trade approach is growing within the EU. Several governments believe Europe should become less dependent on China for key products and raw materials and are willing to consider additional protective measures.
However, there is also caution. Several member states fear that stricter European measures could lead to retaliatory actions from China. Therefore, they want to carefully weigh which steps to take.
The development of new trade instruments will, according to the Commission, take time. First, they will investigate how existing tools can be better utilized. After that, new proposals may follow, which will also have to go through the European legislative process.
Stronger Position
The discussion also includes calls not only to protect trade but to enhance the competitiveness of European companies. According to several involved parties, protection alone is not enough if Europe wants to maintain its position in key industries.
In the coming months, it will become clear how far EU countries are willing to go once the Commission presents concrete proposals. This will reveal whether the political support of European leaders translates into new European trade measures.