Overview
- On Sunday June 7 Manfred Weber, leader of the centre-right in the European Parliament, publicly demanded a harder EU trade policy toward China and cited a €359 billion 2025 goods deficit and a recent EU-funded procurement of 380 Chinese buses for Senegal as reasons to act.
- The European Commission has circulated a draft package of protection instruments that could include new tariffs and restrictions and will be discussed by EU leaders at the summit on 18 June.
- Member states remain divided over the response with France pushing for stronger measures and Germany officially favouring dialogue even as reports suggest Chancellor Merz may be open to firmer steps.
- Experts warn that new tariffs could trigger Chinese retaliation such as cuts to supplies of critical raw materials like rare earths, which would disrupt European supply chains and raise costs for manufacturers.
- Beyond trade barriers, the debate is driving proposals to tighten procurement and development-aid rules to prevent EU funds from benefiting non‑European suppliers and could reshape market access and industrial policy if leaders agree on 18 June.