The European Commission declared on May 29 that the current EU-China trade and investment relationship is "not sustainable" and requires a more robust and coherent approach due to growing economic and security concerns [1, 2]. During discussions that day, EU officials considered new trade measures targeting China, including diversifying EU supply chains and imposing restrictions on Chinese imports in sectors such as chemicals, metals, and clean energy technology [1].
The Commission emphasized it seeks "de-risking, not decoupling" from China and insisted that "engagement and dialogue will continue" even as it adopts a firmer stance [2]. The statement underscored China’s importance but highlighted the need to address intertwined economic and security issues more decisively.
China’s Ministry of Commerce responded on May 30, warning that if the EU moves forward with "new unilateral and discriminatory trade restrictions," China will "resolutely take countermeasures and adopt effective measures to safeguard its own interests" [3, 1]. The ministry’s statement reflects Beijing’s readiness to retaliate sharply to protect its trade interests.
Concrete proposals on EU trade measures are expected in the third quarter of 2026, following an EU leaders’ summit scheduled for June 18-19 that will focus on China policy [1]. Ahead of that, the G7 summit in mid-June will also address trade imbalances linked to China [1].
The EU College of Commissioners met on May 29 to prepare for these upcoming discussions, underscoring the shift toward a more assertive European trade strategy toward China [2]. The planned timeline signals that decisions on new trade instruments are imminent, with EU leaders set to debate and shape policy in the coming weeks [3, 1].
