The EU-China trade war: what if Beijing hits back?
The European Union is considering aggressive trade measures against China to protect its green technology sector, but experts warn of the high risk of retaliation. Replacing Chinese supply chains would be prohibitively expensive, and China has demonstrated a capacity to disrupt global markets through export controls.
Why it matters
This highlights the precarious economic interdependence between the EU and China and the potential for a damaging global trade war.
EU leaders are increasingly sounding the alarm over China’s dominance of green tech and its state-backed industrial model. As Brussels searches for ways to protect Europe’s industrial base, the temptation is to strike hard in response, through the use of aggressive trade measures and an expansion of the EU’s trade-defence and industrial-policy toolbox.
The article presents a balanced view of the risks and strategic dilemmas facing EU policymakers.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in