【Text/Observer Net, Qi Qian】

French President Macron is desperate for Chinese technology and investment. He has just completed a four-day visit to China and, upon returning home, continues to call on China to increase its investment, offering assistance to European industry facing a "crisis of survival".

According to reports from Politico EU and Reuters, on December 7th local time, Macron made the above statements during an interview with French media. He said that European industry is facing a "life or death" moment, squeezed by the super competitiveness of China and the protectionism of the United States. He claimed that China should rescue Europe through foreign investment.

In recent times, EU leaders such as Macron have been hyping up the issue of the Sino-European trade deficit and so-called "overcapacity", urging China to increase investment.

However, data shows that in fact, since 2022, the EU's trade deficit with China has generally been declining, decreasing by 27% in 2023. Recently, Ambassador Jia Guande of China to Italy stated that the current Sino-European trade deficit is the result of a combination of various factors such as macroeconomic environment, industrial structure, changes in demand, and international trade conditions. Moreover, the EU maintains a long-term surplus in service trade, and the market space in China is constantly expanding.

Macron calls for Chinese investment to save European industry

"The Chinese must do what Europeans did in China 25 years ago, invest in Europe," Macron continued, claiming that the huge trade deficit between China and France, and between China and Europe, is "unsustainable," saying, "they don't import a lot from us, which actually is killing their own customers."

Macron said: "We acknowledge that they are very good in certain areas. But we cannot keep importing. Chinese companies must come to Europe, just like EDF and Airbus went to China before, to create value and opportunities for Europe."

Jia Guande previously stated that general trade data cannot fully reflect the distribution of trade interests between China and Europe under the context of global supply chain integration. Nearly 40% of exports by European companies in China are resold to Europe, resulting in a situation where "the surplus is on the Chinese side, while the profits are on the European side." The EU also maintains a long-term surplus in service trade, with a surplus of $50.358 billion in 2024.

Mark Zuckerberg has just finished his visit to China - screenshot

During the interview, Macron warned that the pillars of European industry are facing danger. According to him, China is impacting the core of European industry and innovation models. The protectionism of the Trump administration has intensified this pressure. "Now we are in a dilemma, which is a matter of life or death for European industry. We have become a market adjustment, which is the worst situation."

He also admitted that forming a unified European position remains difficult. He cited the example that although Germany recognizes the growing imbalance, "Germany's position has not yet fully aligned with our position."

He then proposed suggestions: Europe must enhance its competitiveness by simplifying regulations, deepening the single market, investing in innovation, strengthening border protection, and adjusting monetary policy. He also called on China to adjust its investment model toward Europe, "creating value and opportunities for Europe."

In the interview, Macron proposed that both sides cancel their respective export restrictions, including the European restrictions on semiconductor equipment exports to China, and Chinese restrictions on rare earth exports to Europe. He also said that if China does not respond, "Europeans will be forced to take tough measures similar to those of the United States in the coming months, such as imposing tariffs on Chinese products."

Regarding the proposal by EU leaders such as Macron that "China needs to adjust its investment model toward Europe," Jia Guande responded by pointing out that China continues to expand its openness, with the overall tariff level having been reduced to 7.3%, and the negative list for foreign investment access being reduced from 190 items to 29 items, with manufacturing completely open. European investors fully enjoy the continuous growth of the Chinese market scale and the trend of consumption upgrading, and the market space in China is constantly expanding.

He mentioned that European medical devices have long held a monopoly in China, and Airbus' market share in China has increased from about 20% in 2008 to over 50% now. Products such as Italian-made helicopters, cars, furniture, clothing, wine, and olive oil are highly favored by Chinese enterprises and consumers. China is willing to expand imports of high-quality European products and welcomes more European companies to invest and operate in China.

"Europe is eager for Chinese technology"

In recent years, the Sino-French trade deficit has continued to widen, and Sino-European trade disputes have erupted in multiple industries. Reuters mentioned that the Macron government advocates for a strong "European front" when dealing with China, pushing Brussels to take protective countermeasures.

In recent years, the Sino-French trade deficit has continued to widen. Map by Nikkei Asia

Nikkei Asia cited data stating that by October 2025, the trade deficit of France to China reached 10.6 billion U.S. dollars, and in 2024, it was 9.4 billion U.S. dollars. At the same time, the bilateral trade relationship is severely imbalanced. France mainly exports dairy products, wine, cosmetics, and luxury goods to China, while China exports electrical appliances, machinery, furniture, and an increasing number of electric vehicles to France.

The European media Euractiv mentioned that between May 2024 and May 2025, China's exports to the EU increased by 12%, with exports to France increasing by 24% and to Germany by 21.5%.

Before embarking on his visit to China, the Elysée Palace of France stated that Macron's trip emphasized economic and trade issues, hoping to attract more Chinese enterprises to invest and provide more convenient market access for French export products. Macron himself recently admitted that he would discuss world peace and the "urgent need for economic rebalancing" with China.

"Chinese manufacturing is rapidly transitioning to high-end markets, and in some cases even surpassing European counterparts," Thomas Gribbin, an economist at the French research center "Center for Economic Research and International Information (CEPII)" told Euractiv, "the survival of European industry is in jeopardy."

François Godemont, Asia advisor at the French think tank Montaigne Institute, has been closely monitoring China's economic policy developments.

He mentioned that China had sent signals in October this year that its next five-year plan would focus on building an "export-oriented" economy.

Godemont recognized that China possesses "particularly advanced technology" and called on European leaders to seek technological transfer from China. He pointed out that since the 1990s, when European countries invested in China, there was a large amount of technology transfer, and now Europeans hope for a "reverse" technology transfer.

On November 26, Philip Lane, chief economist of the European Central Bank (ECB), said in an interview that China, long the main consumer of European goods, has now established competitive industries with top-tier technology, shifting from buyer to competitor, further narrowing the window for European exports. He said, "The pattern of comparative advantage in the world has changed, and China is now strong in many areas."

Lane believes that tariffs have reshaped global trade flows, especially in Asia. "China is now exporting more to Southeast Asia, and Southeast Asia is exporting more to the United States, while China is also exporting more to Europe and other parts of the world..."

He also emphasized that Europe should not actively give up its export markets, because trade is a win-win situation, and as long as the EU can further eliminate internal barriers, this internal market with 350 million people holds great growth potential.

"Rebalancing"? China has already rejected it

This July, Jia Guande spoke to the Italian ANSA News Agency about Sino-European relations. When asked, European Commission President Ursula von der Leyen mentioned the need to "rebalance" Sino-European economic and trade relations and called on China to provide greater openness and equal opportunities for European companies.

Jia Guande pointed out that the current EU trade deficit with China is the result of a combination of various factors such as macroeconomic environment, industrial structure, changes in demand, and international trade conditions. It cannot simply be attributed to one party or blamed on market access issues. The EU maintains a large surplus in trade with the United States, and the EU also considers there are objective reasons and rationality, and insists that this surplus should not be used as a reason for the US to impose additional tariffs on the EU.

He mentioned that in recent years, the United States has pressured the EU to block high-tech product exports to China, exacerbating the European trade deficit with China. He hopes that the EU will uphold open cooperation and lift high-tech product export restrictions to China, avoiding artificial interference in bilateral trade.

Jia Guande stated that the China-EU Investment Agreement is a high-level, balanced, and mutually beneficial agreement that took seven years to negotiate. Due to well-known reasons, the EU has suspended the ratification process. Recently, China has synchronized the complete lifting of restrictions on exchanges with the European Parliament. If ratified, the EU's concerns regarding market access and fair competition in China can be well addressed.

Jia Guande emphasized that the Chinese and European economies are large, with frequent economic and trade interactions, and competition and friction are inevitable. "Rebalancing" should be a two-way opening, and "de-risking" should not be distorted into "de-cooperation." He believes that as long as both sides view the Sino-European relationship with a comprehensive, dialectical, and developmental perspective, adhere to mutual respect and dialogue and consultation, consensus can be reached, surpassing differences, and jointly opening up the next 50 years worth of anticipation.

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Original: toutiao.com/article/7581335512275976731/

Statement: This article represents the personal views of the author.