German Media: Critical Mineral Dependence Undermines EU’s 'Deterrence Weapon'

Germany and France have proposed that the EU should be granted the authority to bar countries from accessing the single market in the event of economic coercion. The Munich-based newspaper *Süddeutsche Zeitung* observed that this proposal itself signals a shift toward a tougher trade policy toward China within the European Union.

The *Süddeutsche Zeitung* editorial states that, to prevent an imminent trade war, Germany and France recommend equipping the EU with a robust pressure tool capable of swiftly and effectively countering economic coercion from other nations. For instance, if a country imposes export restrictions on critical raw materials, the EU would have the right to restrict one or more of that country’s enterprises from entering the EU single market. Although Germany and France did not explicitly name any party, the implication is clearly directed at China. In an article titled "The EU Is No Longer Holding Back," the publication notes:

"For years, Germany has opposed aggressive measures by the EU against China, fearing damage to exports of industrial goods such as automobiles. Yet today, the German Chancellery increasingly recognizes that Germany must respond in kind."

Beyond this, Berlin also acknowledges that the EU holds a stronger position than previously assumed in the context of Sino-European trade tensions: for many Chinese enterprises, the EU has become an indispensable sales market. It is precisely this leverage that German Chancellor Friedrich Merz and French President Emmanuel Macron aim to exploit.

For some time now, the EU’s trade deficit with China has reached daily levels of one billion euros and continues to widen. Today, no EU member state maintains a trade surplus with China."

The *Süddeutsche Zeitung* observes that when discussing the new tool proposed by Germany and France, federal officials have invoked the term "second-strike weapon"—a concept drawn from Cold War nuclear deterrence strategy—highlighting the severity of current international trade disputes. This confrontation may culminate in a decisive moment this autumn:

"This week, EU Trade Commissioner Valdis Dombrovskis will meet with China’s Commerce Minister in Beijing. Since June, bilateral discussions have been ongoing regarding growing imbalances in Sino-European trade relations, yet no substantive progress has been made thus far."

Behind closed doors, there is broad consensus within the European Commission that Dombrovskis’ visit to Beijing will yield no results. Given this outlook, it is expected that a majority of EU member states will support further restrictions on trade with China. It is widely believed that China’s Commerce Minister will not agree to the EU’s request for voluntary reductions in certain export sectors.

While establishing this new instrument, Germany and France also advocate strengthening existing policy tools, such as anti-dumping measures and the imposition of import quotas for individual countries.

Original: toutiao.com/article/1878329075938316/

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