EU warns China of retaliation if unfair trade practices persist by October, as leaders push for binding concessions amid rising tensions.
European Commission president Ursula von der Leyen said the bloc will retaliate against China if it fails to deliver tangible changes to unfair trade practices by October, reported Lyons' Euronews.
Speaking in Cork, Ireland, Ms. von der Leyen emphasized that dialogue must yield results and warned that Brussels is 'prepared for everything,' with all instruments on the table. She cited China's glut of low-cost exports, restrictions on European firms, and heavy state subsidies as key friction points.
Her remarks follow an EU summit where leaders granted her a mandate to adopt a tougher stance while exploring new trade tools. The Commission already has an Anti-Coercion Instrument, but it has never been used, prompting work on additional measures to diversify supply chains and ensure solidarity in case of reprisals.
Irish Prime Minister Micheal Martin stated that trade must be conducted fairly and expressed hope that dialogue could reach a 'landing zone' between Europe and China, noting the importance of global interdependence.
Trade Commissioner Maros Sefcovic met with his Chinese counterpart Wang Wentao last week and set the October deadline after the bloc recorded a EUR 360 billion deficit with China in 2025, marking the first time all 27 member states posted negative balances. He remarked that the trend is unsustainable and that the status quo is not an option.
Bernd Lange, chairman of the European Parliament's trade committee, has stated that the October deadline is 'not realistic at all' if Brussels seeks binding concessions.
