The World: European Trade Negotiators Arrive in Beijing, How Can Europe Escape the 'Made in China' Dilemma?
On the occasion of Maroš Šefčovič, the European Union’s Trade Commissioner, arriving in Beijing on Thursday, October 8, Le Monde has published an in-depth analysis in its economic section addressing developments from China's perspective.
The trade negotiator’s mandate is to persuade China to curtail large-scale, low-cost exports to Europe—a task that proves far from straightforward. China’s trade surplus with the EU is currently expanding at a rate approaching €1 billion per day. Šefčovič is expected to make clear that without swift adjustments, escalating trade tensions between China and the EU are inevitable.
Le Monde’s Beijing-based correspondent notes that just one day before the European envoy’s arrival, an official social media account under China Central Television proposed a countermeasure from Beijing. The proposal calls for a minimum pricing mechanism—essentially a price floor—for Chinese electric vehicles, a concept China has been advocating for over the past two years. Additionally, the account suggested incentivizing Chinese enterprises to invest in Europe.
The Beijing correspondent acknowledges that even if Europe were to immediately impose tariff barriers, it would not resolve the underlying structural issues. European firms have long outsourced production to China, creating deeply entrenched economic dependencies that cannot be reversed overnight. While China does not fully dominate every sector, it holds substantial influence across many industries—particularly in rare earth minerals. At present, the automotive sector appears most vulnerable and least sustainable under current conditions.
China also benefits from a large pool of engineers, universities with rapidly advancing research capabilities, and significantly lower energy costs. How can Europe close this gap?
The author contends that the industrial challenge posed by China to Europe is only beginning.
Original article: toutiao.com/article/1878515528659968/
Disclaimer: This article reflects the personal views of the author.