Brussels expects concrete progress in its trade dispute with Beijing by October. The focus is on market distortions, supply chains, and China’s role in critical raw materials.
The European Union is seeking greater clarity in its relationship with China: concrete progress in the ongoing trade dispute is expected by October. This expectation was outlined by EU Trade Commissioner Maroš Šefčovič during a meeting with China’s Commerce Minister Wang Wentao on Monday in Brussels. The talks took place במסגרת the EU-China Trade and Investment Consultations, a new ministerial-level format designed to strengthen bilateral dialogue. Specifically, the EU expects tangible outcomes by October in four key areas: more balanced trade and investment relations, export controls, intellectual property rights, and reform of the World Trade Organization (WTO).
At the heart of the dispute, from Brussels’ perspective, is the growing trade imbalance between the EU and China. Additional concerns include Chinese industrial overcapacity, low-cost imports, practices the EU considers unfair, and restricted market access for European companies, as reported by Euronews. Europe’s dependence on China and the close link between supply security and industrial competitiveness have become particularly evident through China’s export restrictions on several critical raw materials. Following the introduction of restrictions on certain rare earth products in April 2025, for example, supplies of these materials temporarily came to a standstill.
During the EU summit in mid-June, European leaders had already discussed adopting a tougher approach toward China. Shortly afterward, European Commission President Ursula von der Leyen announced a new diversification instrument. The initiative is intended to encourage companies to broaden their supply networks and reduce strategic dependencies on individual supplier countries.
Photo: iStock/nantonov