EU Leaders Demand New Trade Tools to Counter China’s Might
BRUSSELS — European Union leaders have formally requested the European Commission to develop tougher trade defense instruments against China, marking a significant escalation in the bloc’s response to what Belgian Prime Minister Bart De Wever describes as unfair trade practices that are “devastating” European industry. The decision came during the June 18-19 EU summit in Brussels, where leaders agreed that the current framework is no longer adequate to protect European economic interests.
According to Politico, EU leaders asked the Commission to assess the bloc’s existing trade defense toolbox and “eventually” come up with new instruments to ensure the EU has what it “needs to defend its interests and derisk.” The request reflects growing consensus that China’s export-led growth model, particularly in green technology, chemicals, and pharmaceuticals, is flooding European markets with subsidized goods that domestic producers cannot compete with.
De Wever’s Campaign for Tougher Action
De Wever has emerged as one of the most vocal European leaders on China trade, launching a coordinated campaign that began with a formal letter to European Commission President Ursula von der Leyen in March 2026. In that letter, reported by the Belga News Agency, he warned that Beijing’s economic policies are “eroding Europe’s industrial base” and called for the matter to be addressed at the highest level of the European Council.
The Belgian prime minister’s concerns span multiple fronts: China’s export-led growth strategy in strategic sectors, forced technology transfers and intellectual property breaches, state subsidies that give Chinese firms an unfair advantage, export restrictions on critical raw materials used as political leverage, and geopolitical risks including China’s support for Russia’s war economy and the potential for a Taiwan conflict to disrupt semiconductor supply chains.
Speaking at an event hosted by Friends of Europe and the Jacques Delors Institute in Brussels on June 9, De Wever urged European leaders to develop a coherent strategy, expressing frustration at what he saw as a lack of urgency. “China does not take a lot of initiatives. These people have a strategy. And a strategy is going to eat our initiatives for breakfast,” he said, as reported by the Belga News Agency. He also criticized EU leaders for being “so afraid that we don’t even dare” to name China directly, noting that the topic had been labeled “geo-economic imbalances” rather than addressed head-on.
The Scale of the Imbalance
The economic data underscores the urgency of De Wever’s warnings. The EU’s goods trade deficit with China grew to nearly €360 billion in 2025, up from €312 billion in 2024, according to European Commission data cited by Breitbart. China is now the European Union’s second-largest trading partner after the United States, but the relationship is increasingly viewed as asymmetrical.
A report from the OECD found that Chinese firms in key industries received up to eight times more state aid than their global rivals between 2005 and 2024, highlighting the scale of the subsidy advantage that European manufacturers face.
Summit Outcome: A Mandate for Action
At the June summit, leaders requested a “short term analysis of existing tools and how to be used in a more efficient way,” according to an EU official cited by Politico. Developing new instruments will take time to deliver and then navigate the legislative process, but the political signal is clear: the era of unfettered engagement with China is giving way to a more assertive posture.
De Wever told Politico after the summit that the matter was “urgent.” “Everyone believes we need measures to reduce our dependence,” he said. “And the subsidies provided in China — that’s not fair. We need a response to that.”
Commission President Ursula von der Leyen reportedly sought to gauge how far EU leaders were willing to accept Chinese retaliation, as the bloc grapples with how to shield Europe’s factories from China’s cheaper high-end goods, including electric vehicles and other advanced manufactured products.
A Shifting European Consensus
A significant development is Germany’s warming toward a harsher position on China. Under Chancellor Friedrich Merz, Germany has moved away from the more conciliatory approach of the Merkel era. After a visit to China, Merz acknowledged that Germany “is no longer productive enough,” signaling a growing recognition in Berlin that the status quo is unsustainable.
However, internal EU divisions remain. French President Emmanuel Macron favors engagement with China through G7 coordination, a position that De Wever has publicly criticized. The upcoming visit of Chinese Commerce Minister Wang Wentao to Brussels for talks with EU Trade Chief Maroš Šefčovič will test whether dialogue or confrontation prevails.
China’s Response
Beijing has pushed back against the growing criticism. Chinese Foreign Ministry spokesperson Lin Jian stated that “China-EU trade is not a zero-sum game” and questioned whether EU “diversification” efforts are “just another version of protectionism,” as reported by the Global Times. Chinese analysts have characterized De Wever’s remarks as an attempt to “make China a scapegoat for EU’s economic distress” and a resurgence of “outdated” protectionist rhetoric.
What’s Next
The European Commission’s assessment of trade defense tools is expected in the coming months, with new instruments potentially following a legislative process that could take years. Meanwhile, the Wang Wentao-Šefčovič meeting at the end of June will provide an early indication of whether diplomatic channels can ease tensions or if the EU is headed toward a more confrontational trade relationship with China.
De Wever has acknowledged that a tougher stance could provoke Chinese retaliation, including restrictions on key exports, but argues the EU must “absorb such costs” to protect its long-term industrial base. The question now facing European leaders is whether they have the political will to follow through — and whether the bloc can maintain unity in the face of potential Chinese countermeasures.