European Commission vows tougher action on trade with China, calling relationship ‘not sustainable’
The European Commission has announced a shift in its trade policy regarding China, labeling the current relationship as 'not sustainable.' This decision comes in light of a significant trade deficit of €359.8 billion with China in 2025, primarily due to imports of electrical machinery and electronics. The EU plans to implement new trade instruments and supply-chain diversification mandates ahead of an upcoming leaders' summit.
- ▪The EU's trade deficit with China reached €359.8 billion in 2025.
- ▪The European Commission is proposing supply-chain diversification mandates and new trade instruments.
- ▪A non-paper from five EU member states called for more frequent safeguard investigations and new trade-defense tools.
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European Commission vows tougher action on trade with China, calling relationship ‘not sustainable’ The EU's €359.8 billion trade deficit with China is forcing Brussels to rethink its economic playbook, with potential ripple effects across global markets and alternative assets. Share Add us on Google by Editorial Team May. 29, 2026 window.sevioads = window.sevioads || []; var sevioads_preferences = []; sevioads_preferences[0] = {}; sevioads_preferences[0].zone = "01f21ccf-2092-46b1-9ac7-8c44cc782e0f"; sevioads_preferences[0].adType = "native"; sevioads_preferences[0].inventoryId = "c5700508-581b-472c-8fdd-a931cdbfc8e1"; sevioads_preferences[0].accountId = "1e47efc1-ec2d-4fca-a8b9-354e249e5095"; sevioads.push(sevioads_preferences); The European Commission just said the quiet part out loud.
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