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Reciprocal Trade Measures Put EU-China Summit’s Second Day at Risk

With tensions at their worst in years, the planned July summit faces curbs that may see its second day in Anhui shelved.

Overview

  • On June 20 the EU excluded Chinese companies from public procurement of medical devices over €5 million to demand reciprocal market openness.
  • China responded on July 6 by barring EU firms from its medical device tenders above 45 million yuan and levying anti-dumping duties up to 34.9% on European brandy.
  • These moves build on last year’s EU tariffs on Chinese electric vehicles and China’s April rare earth export restrictions in an escalating trade standoff.
  • Brussels halted a June 17 high-level economic and trade dialogue with Beijing after talks on market access and subsidies stalled.
  • Observers say US-led de-risking and tariff pressures have emboldened the EU’s tougher stance, deepening mistrust ahead of the 50th anniversary summit.