European Union leaders are facing mounting pressure to protect domestic industries from rising Chinese imports, as a widening trade imbalance threatens manufacturing jobs and intensifies calls for tougher economic measures against Beijing.
According to Reuters, the issue will feature prominently at the European Council summit in Brussels on October 15 and 16, with France and Germany pushing for a stronger response to competition from Chinese manufacturers.
The European Union recorded a goods trade deficit of approximately €360 billion with China in 2025, equivalent to nearly €1 billion a day. The imbalance has continued into 2026, reaching around €200 billion during the first six months of the year.
European policymakers are particularly concerned about the impact of Chinese exports on the automotive sector and other manufacturing industries already facing high energy costs and pressure to restructure.
The debate marks a shift in Europe’s approach to China. Rather than relying primarily on negotiations to improve European companies’ access to the Chinese market, EU officials are increasingly considering measures designed to limit the impact of subsidized imports.
France has long advocated stronger European trade protections, while Germany’s growing support for defensive measures reflects increasing concern about the competitiveness of its industrial sector.
The European Commission has already held negotiations with Beijing aimed at reducing trade imbalances and addressing restrictions affecting critical raw materials.
A preliminary understanding on vehicle trade has offered a possible route toward easing tensions, but European officials continue to seek broader and more durable commitments.
China, meanwhile, has signalled its willingness to maintain stable economic relations with the European Union. On Wednesday, Vice Premier He Lifeng expressed support for stronger cooperation during talks with a senior French diplomatic adviser in Beijing.
The challenge for European leaders is to protect manufacturing employment without triggering a wider trade confrontation that could increase costs for businesses and consumers.
The summit will also address energy prices, Ukraine, migration, the EU’s long-term budget and developments in the Middle East.
For the European Union, the debate over China has become part of a broader effort to strengthen economic competitiveness and reduce strategic dependencies while preserving international trade relationships.
