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🇨🇳 China /Economy & Trade

A sinking ship? Why the EU and China could be heading for a trade war

From South China Morning Post · () English

Summarized by DistantNews. Read the original for the full story.

At a glance

News Named sources Context piece
  • European and Chinese diplomats clashed at a Beijing conference over escalating trade disputes, with accusations of protectionism and decoupling.
  • Chinese speakers were criticized for dismissing European complaints and ignoring an imbalanced trade relationship.
  • The deterioration of ties suggests a trade war is increasingly likely, with finding an 'off-ramp' proving difficult.

Sparks flew in a Beijing conference room this week as diplomats, officials, and experts from Europe and China clashed over their deepening trade problems. Chinese speakers were accused of dismissing Europe’s long-standing complaints and ignoring the harsh economic reality of an increasingly lopsided trading relationship. EU diplomats were accused of “bullying”, while the bloc’s policies were billed as “protectionist” efforts to decouple from China.

It is neither a sinking ship nor a partnership – it’s a 400-metre-long giant container ship loaded with 24,000 containers going to Europe and coming back almost empty.

· Jens EskelundPresident of the EU Chamber of Commerce in China, illustrating the perceived imbalance in EU-China trade.

At the acrimonious event hosted by the European Union on Tuesday, the two sides bickered not only over policy but also over who was at fault for the broad deterioration in their ties. The blame game suggests that an off-ramp in their rapid descent towards a trade war may be hard to find.

On one fiery panel billed as “EU-China trade relations, partnership or sinking ship?”, top European business figures and observers looked exasperated as Chinese speakers disregarded their insistence that Europe remained comparably open to Chinese goods. Jens Eskelund, president of the EU Chamber of Commerce in China, vividly described the situation: “It is neither a sinking ship nor a partnership – it’s a 400-metre-long giant container ship loaded with 24,000 containers going to Europe and coming back almost empty.”

unfortunate that the EU is taking decoupling policies with China

· Jian JunboA researcher at Fudan University's Centre for China-EU Relations, commenting on EU policies.

In response, Jian Junbo, a researcher at Fudan University’s Centre for China-EU Relations, stated it was “unfortunate that the EU is taking decoupling policies with China,” adding that the pair should “work together to fight protectionism.” This exchange highlights the fundamental disconnect in how each side perceives the trade relationship and the motivations behind policy decisions. From a Chinese perspective, the EU's actions are often seen as attempts to contain China's economic rise rather than genuine efforts to address trade imbalances.

work together to fight protectionism

· Jian JunboA researcher at Fudan University's Centre for China-EU Relations, suggesting a path forward for EU-China relations.
About this summary

Originally published by South China Morning Post. Summarized and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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