As the European Union considers new trade barriers against China, Xinhua has argued that focusing on deficits alone risks ignoring the broader realities of the economic relationship, declares Xinhua.

The commentary stated that trade statistics do not fully reflect value distribution across supply chains, noting that many exports recorded as Chinese are produced by European companies operating in China, with profits and shareholder value flowing back to Europe.

It added that Chinese goods have supported European consumers and industries by easing inflationary pressures and providing reliable supplies. Nearly half of China's exports to Europe are intermediate goods used in manufacturing, helping European firms lower costs and remain competitive.

Xinhua mentioned that China has expanded imports from the EU, broadened market access for agricultural products, and strengthened export regulation, including controls on dual-use items. Dialogue, it argued, is the most effective way to manage differences.

The commentary warned that defensive trade measures cannot sustainably address imbalances, stressing that Europe's long-term strength depends on productivity, innovation, and competitiveness. Restricting imports may raise costs and weaken efficiency without bolstering manufacturing.

It concluded that China and the EU remain major partners with complementary interests, and that expanding cooperation is preferable to new barriers. Europe's choice, Xinhua said, is between openness and self-imposed constraints.