China Courts Nordic Countries as EU Trade Frictions Mount

Chinese Foreign Minister Wang Yi has concluded a rare six-day tour of Denmark, Sweden, Finland, and Norway, marking Beijing’s highest-level diplomatic engagement with the Nordic region in more than a decade. The July 2–7 trip came as trade tensions between China and the European Union escalate over a widening trade deficit that reached €360 billion in 2025, according to Caixin Global.

A Historic Diplomatic Push

The tour was the first visit by a Chinese foreign minister to Denmark in 15 years and to Sweden in 22 years, underscoring how high-level exchanges had cooled since the Russia-Ukraine war began in 2022. Wang Yi met with Danish King Frederik X, Swedish Prime Minister Ulf Kristersson, Finnish President Alexander Stubb, and Norwegian Prime Minister Jonas Gahr Støre, among other senior officials.

According to the Chinese Foreign Ministry, the visits were aimed at strengthening bilateral ties and exchanging views on international and regional issues. Chinese Foreign Ministry Spokesperson Guo Jiakun said ahead of the trip that “China’s relations with the four countries have developed steadily in recent years, with fruitful cooperation in green transition, trade and investment, and scientific and technological innovation,” as reported by China Daily.

The Trade Friction Backdrop

The diplomatic outreach occurs against a stark economic backdrop. The EU’s trade deficit with China in goods hit €98 billion in Q1 2026 — the highest since Q3 2022 — with imports from China rising while EU exports to China fell. As European Business Magazine reported, Chinese firms now dominate Europe’s supply of solar panels, rare earths, chemicals, and industrial robots, while Chinese EV brands surpassed 10% of total EU auto sales in May 2026 despite EU tariffs of up to 35.3%.

EU Trade Commissioner Maroš Šefčovič has been blunt about the imbalance: “China’s exports to the EU keep rising, while our market share in China keeps shrinking.” The EU has proposed measures including overhauling the Cyber Security Act to bar Chinese firms from critical infrastructure and drafting the Industrial Accelerator Act to prioritize EU-made goods in public procurement.

China’s Strategic Objectives

Beijing’s approach is strategic. Swedish analyst Björn Jerdén, head of the Swedish National Knowledge Centre on China, told ScandAsia that Beijing is seeking to persuade both the EU and individual member states not to impose further trade measures on Chinese exports. By engaging Nordic countries individually, China aims to create a more favorable environment within EU decision-making processes.

China’s state media has signaled Beijing’s resolve: “China is able to cope with a situation where China-EU economic and trade relations deteriorate further or even slide to the freezing point. China does not want to go that far but it is not afraid to go that way.”

Areas of Cooperation

Despite the tensions, the tour yielded concrete agreements. China and the Nordic countries pledged to deepen cooperation in low-carbon transition, circular economy, green shipping, biopharmaceuticals, and AI governance. All four nations reaffirmed their commitment to the one-China policy — a key diplomatic win for Beijing.

In a notable development, Norwegian Prime Minister Jonas Gahr Støre urged China to leverage its influence with Russia to help end the war in Ukraine, while also raising concerns about human rights. “In these times of global instability, it is vital that we maintain a constructive dialogue with China,” Støre said, as reported by ScandAsia.

Implications and Outlook

The tour is likely to strengthen bilateral economic ties between China and individual Nordic countries, potentially creating divisions within the EU’s unified trade approach. However, the fundamental asymmetry in EU-China trade relations — driven by Chinese industrial policy and manufacturing overcapacity — suggests that tensions will persist regardless of diplomatic outreach.

A new China-EU trade and investment consultation mechanism has been launched between Chinese Commerce Minister Wang Wentao and EU EVP Maroš Šefčovič, covering trade balance, export controls, intellectual property, and WTO reform. Whether this framework can produce tangible results — or become another forum for disagreement — remains an open question as Europe grapples with its most sustained economic confrontation with China in decades.

— Reporting based on Caixin Global, Chinese Foreign Ministry, China Daily, CGTN, ScandAsia, and European Business Magazine