Join on WhatsApp
Join on Telegram
Fez – China has warned that it is prepared to suspend economic and trade relations with the European Union if current negotiations continue without tangible results, according to an account linked to China’s state broadcaster.
The warning comes as both sides struggle to ease growing trade tensions driven by a widening trade imbalance and disputes over market access.
The account, affiliated with China Central Television (CCTV), cited sources familiar with the discussions as saying Beijing believes the European Union has adopted a tougher approach since launching an investigation into Chinese subsidies for electric vehicles.
According to the report, China sees the bloc’s strategy as relying on pressure and strict conditions to strengthen its negotiating position.
The report also accused the European Union of increasingly using regulatory rules and standards to limit access to its market, arguing that such measures have weakened the bloc’s influence over global trade.
The comments were published one day before Chinese Commerce Minister Wang Wentao is due to meet European Trade Commissioner Maroš Šefčovič in Brussels.
The talks are expected to focus on reducing trade tensions and addressing long-standing disagreements over trade and investment.
Brussels has continued to press Beijing to tackle what it describes as a major imbalance in trade between the two economies.
China recorded a goods trade surplus of around €360 billion ($410 billion) with the European Union in 2025, with the gap continuing to widen this year.
European leaders have urged the European Commission to keep negotiating with China while also preparing measures to protect European industries.
The bloc has expressed concerns over subsidized Chinese imports, dependence on Chinese supply chains, and the possibility of retaliatory measures against European companies if relations deteriorate further.
Beijing, however, argued that Chinese companies are placing less importance on the European market than in the past and are increasingly focusing on other regions.
Despite this shift, China said cooperation continues in sectors such as electric vehicles, batteries, and automotive manufacturing, where several European countries are seeking additional Chinese investment.
China also warned that if the European Union maintains its current approach, prospects for expanding economic and trade cooperation could become increasingly uncertain.
The latest figures from Eurostat point to the scale of the trade imbalance.
The European Union recorded a record goods trade deficit with China of €98 billion ($112 billion) in the first quarter of 2026, the highest level since the third quarter of 2022.
The deficit widened as EU imports from China rose 3.4% from the previous quarter to around €145 billion ($165 billion), while European exports to China fell 4.8%.
Eurostat data also showed that electrical equipment, machinery, and mechanical parts remained the largest categories of trade between the two sides in 2025.
The European Union also recorded the biggest increase in imports of machinery and mechanical parts, followed by organic chemicals.
Meanwhile, EU exports of vehicles and vehicle parts to China declined sharply, although exports of aircraft and spacecraft increased during the same period.
The upcoming talks in Brussels are expected to test whether the two sides can ease tensions before trade disputes escalate further.
