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EU Calls for Broader China Trade Deal Ahead of Beijing Visit

EU lawmakers seek a comprehensive trade agreement with China that includes investment, according to a senior Parliament lawmaker.

By PLAIN. Editorial DeskPublished 2 min read3 Sources

Key facts

  • Bernd Lange, chair of the EU Parliament’s Trade Committee, said the bloc should seek a broad trade agreement with China that includes investment, according to Euronews.
  • The EU reached a hybrid‑car deal on 9 October that limits Chinese exports to 350,000 vehicles per year with a 6% annual adjustment, according to Euronews.
  • EU lawmakers will visit China from 27 to 29 October to discuss trade issues, according to Euronews.
  • EU leaders authorized the Commission to introduce unilateral quotas to protect chemicals and machinery sectors, according to Euronews.
  • Capital Economics analysts said the EU is likely to avoid a full trade confrontation with China because of internal divisions and fear of retaliation, according to SCMP.

Bernd Lange, chair of the EU Parliament’s Trade Committee, said the bloc should seek a broad trade agreement with China that includes investment, according to Euronews. He said a comprehensive agreement would replace sector‑by‑sector negotiations.

The EU reached a hybrid‑car deal on 9 October that limits Chinese exports to 350,000 vehicles per year with a 6% annual adjustment, according to Euronews. The agreement is part of a first phase of negotiations that will continue on a technical level until political talks in March 2027.

EU lawmakers will visit China from 27 to 29 October to discuss trade issues, including export restrictions, subsidies, and procurement practices, according to Euronews. They will meet representatives of the Chinese Ministry of Commerce and members of the National People’s Congress.

Capital Economics analysts said the EU is likely to avoid a full trade confrontation with China because of internal divisions and fear of retaliation, according to SCMP. The bloc is expected to continue to pull its punches in any confrontation with Beijing.

Context

The EU runs a daily trade deficit of about €1 billion with China, creating mounting tensions. A broader agreement is seen as a way to address this imbalance and protect European industries.

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How this was made

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