EU moves to tighten trade rules against cheap Chinese imports

The European Union is drafting a new set of trade measures aimed at reducing economic dependence on China and protecting EU industries from low‑cost imports. Commission officials are preparing a regulation that could launch safeguard investigations and introduce tariff quotas for sectors beyond steel and ferro‑alloys, such as automotive, chemicals and technology. An “anti‑overproduction” tool is also being considered to counter state‑subsidised mass production by Chinese firms, while new limits on Chinese technology in the energy sector and stricter rules on Chinese investments and telecom equipment are already in place.

The proposal will be debated by EU commissioners at the end of May and presented to EU leaders at a G7 summit in France in mid‑June. The EU’s trade deficit with China reached €359.3 billion in 2025, about 19 % higher than the previous year, prompting concerns over de‑industrialisation and job losses in key industries. Internal disagreements persist, with countries such as Germany favouring a softer approach, while others push for a more assertive stance.