China warned it will retaliate if the EU adopts new trade measures it regards as discriminatory, the Chinese Ministry of Commerce said in a Saturday statement. The comment came after internal European Commission talks that produced no decisions but are meant to inform upcoming G7 and EU summit discussions. The commission stressed China remains an important partner while calling current trade and investment ties "not sustainable"; Beijing says communication channels remain open.
China Threatens Retaliation If EU Imposes New Trade Restrictions
FILE PHOTO - A Chinese and a European flag stand on a table. (is associated with: «China threatens retaliatory measures if EU expands trade barriers») Johannes Neudecker/dpa
China has warned the European Union that it will respond firmly if Brussels adopts additional trade measures it deems discriminatory. In a statement released by the Chinese Ministry of Commerce on Saturday, Beijing urged the EU to uphold free trade and fair competition and to reject protectionism and unilateral actions.
The ministry said that if the EU introduces "unilateral trade instruments" or discriminatory restrictions, China would "strike back decisively" and take "effective measures" to defend its interests.
Context
The warning followed internal European Commission discussions on Friday about EU-China trade and investment relations. No decisions were taken at the meeting; it was intended to feed into talks at an upcoming Group of Seven (G7) meeting and a mid-June EU summit.
After the session, the commission reiterated that China remains an important partner and said dialogue would continue. At the same time, it described the current state of trade and investment ties as "not sustainable," citing an increasingly close overlap between economic and security concerns and calling for "a more robust and coherent response" from the EU.
Current Frictions
Beijing said communication channels with the EU remain open and highlighted ongoing talks about establishing a consultation mechanism for trade and investment. Tensions between the two sides have been fuelled by EU tariffs on Chinese electric vehicles, reciprocal investigations into market practices, and Chinese export controls on certain raw materials.
Why it matters: Further escalation could lead to new tariffs, export controls or regulatory measures from either side, raising costs for businesses and complicating broader geopolitical cooperation.
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