EU faces trade 'conflict' with China without autumn deal, EPP chief warns

The European Union is on a path toward a trade "conflict" with China unless an agreement is reached by autumn to curb significant trade imbalances. Manfred Weber, chairman of the European People's Party (EPP), issued this warning, stating that the EU aims to secure a deal by October to address its widening trade deficit with China.

In parallel, the EU has implemented new measures targeting specific Chinese imports. These include new tariffs and quotas on steel imports from China. Additionally, the EU has removed a customs duty exemption previously applied to e-commerce small parcels valued under 150 euros. These actions are intended to address the substantial trade imbalance between the economic blocs.

To manage future disputes and ongoing trade concerns, China and the European Union have agreed to establish a new ministerial trade and investment consultation mechanism. This structured channel is designed to facilitate discussions and resolutions regarding market access, export controls, and the persistent trade imbalance.

Separately, Manfred Weber, also president of the EPP, commented on EU climate policy, stressing that it must remain "business-reasonable" and avoid harming industrial sectors. He also voiced criticism of Spain's plan to regularize over one million undocumented migrants, suggesting it could have repercussions for other EU member states.