EU trade chief Maros Sefcovic will meet Chinese envoy Li Chenggang in Paris as Brussels seeks to address overcapacity concerns and a record-high EUR359.9 billion (US$414.5 billion) trade deficit with Beijing, reported Lyons Euronews.

The meeting will take place on the sidelines of an OECD ministerial gathering. It comes after the EU unveiled new measures, including the Industrial Accelerator Act and the Cybersecurity Act, which could exclude Chinese firms from the European market. Beijing has threatened retaliation, raising fears of a trade war.

Tensions escalated last week when EU commissioners debated strategy towards China. The European Commission stated that the current trade and investment relationship was 'not sustainable,' and officials agreed to strengthen trade defense tools. Proposals will be presented to EU leaders at their summit on June 18.

Member states remain divided. France, Italy, Spain, the Netherlands, and Lithuania have called for the faster use of tariffs and quotas to protect EU industries, while Germany has sought to preserve market access for its companies despite its deep deficit with China.

The Commission indicated that it will continue engaging with Beijing. Reports suggest that Chinese Commerce Minister Wang Wentao may visit Brussels on June 28 and 29, though the trip has not yet been confirmed.