Key facts
- EU is repurposing a trade war task force to monitor Chinese imports.
- The bloc fears Chinese shipments diverted from the US could harm European industries.
- China's goods trade surplus with the EU hit 360.6 billion euros in 2025.
- France, Germany, Poland, Netherlands, Belgium, Italy, and Lithuania support stronger EU trade measures against China.
- China has warned of a 'resolute response' to protect its industries.
- EU previously imposed tariffs on Chinese EVs and launched anti-dumping probes.
The European Union is adapting a trade surveillance task force, initially established to monitor the fallout from US President Donald Trump's trade war with China, into an early warning system for a potential surge in Chinese exports. The bloc is increasingly concerned that goods being priced out of the US market due to high tariffs could be diverted to Europe, threatening domestic manufacturers.
Eighteen months after its creation, the task force is being repurposed as concerns grow over China's trade surplus with the EU, which reached 360.6 billion euros in 2025, a 15% increase from the previous year. In the first four months of 2026, this gap has already expanded by 10%.
Several European leaders are advocating for stronger protective measures. French President Emmanuel Macron has suggested implementing an "European equivalent of Section 301," a US trade tool that allows for tariffs in response to unfair trade practices. Germany, Poland, the Netherlands, and Belgium have reportedly backed this call for new EU powers to swiftly impose tariffs on China. Additionally, France, Italy, the Netherlands, and Lithuania have proposed exploring new measures to reduce over-reliance on single countries, potentially through new tariffs or quotas.
While the EU did impose tariffs on Chinese electric vehicles in 2024 and launched anti-dumping and anti-subsidy investigations, these processes are lengthy. China, meanwhile, has warned of a "resolute response" and a broader "policy toolbox" if the EU proceeds with restrictions, highlighting the potential for escalating trade tensions.