China threatens countermeasures against EU
Beijing responds to a reported Franco-German plan for a stronger European trade instrument against unfair competition.
China says it will deliver a firm response if the European Union further restricts Chinese companies or products. According to Reuters, this is a response to a reported Franco-German proposal to give Brussels an instrument resembling the US trade law Section 301.
China’s Ministry of Commerce warned on Tuesday of a ‘resolute response’ if the European Union takes measures against Chinese companies or products. According to Reuters, the warning was directed at a reported document by several EU countries calling for a stronger instrument against unfair trading practices.
The proposal would give the European Commission greater scope to target countries that, in Brussels’ view, disadvantage European companies. Reuters writes that Germany and France are working on a joint document calling for a European instrument modelled on Section 301 in the United States. That US regulation allows trade measures to be imposed following an investigation.
There is no indication that the EU has already introduced this instrument or that new European punitive duties against China have now been established. For the time being, this concerns a reported political initiative and a Chinese response to it. Nor is it clear which products or sectors would fall under a future instrument.
The response comes amid a broader deterioration in the trading relationship. The European Commission reported last week that it launched 32 new trade-defence investigations in 2025. The Commission says the chemical industry and steel sector in particular are suffering from unfair trading practices. At the same time, China is investigating European products, including brandy, pork and dairy.
For European companies, an escalation could affect prices, supply chains and access to the Chinese market. Dutch businesses are directly or indirectly involved through mechanical engineering, chemicals, logistics, agricultural technology and financial services. A countermeasure could affect not only exporters but also companies that use Chinese components or raw materials.
Beijing calls the European plan protectionist and warns that it will disrupt the stability of trade. European policymakers, by contrast, will argue that existing trade instruments are needed when state aid or market access distorts competition. The next step is chiefly political: it first needs to become clear whether France and Germany will formally submit their proposal to the European Commission and whether other member states will support it.
One story, several perspectives
What is established
- China has threatened countermeasures.
- A possible European trade instrument has not yet been formally established.
- The EU is already conducting investigations and taking measures against alleged unfair trade.
Left
Arguments Europe should protect companies and workers from state aid, dumping and dependence on authoritarian regimes, even if that means higher import prices.
Values Workers’ rights, public direction, strategic autonomy and fair competition.
Consequences More trade restrictions could protect European production, but consumers and companies could face higher costs.
Centre
Arguments Use trade instruments only after a transparent investigation, within WTO rules and with room for negotiations with Beijing.
Values Proportionality, predictability and international cooperation.
Consequences A targeted approach could limit escalation, but it takes time and leaves companies facing uncertainty in the meantime.
Right
Arguments The EU should defend its own interests more assertively and not allow China to distort European markets through state aid.
Values Economic security, domestic industry and reciprocity.
Consequences A hard line could strengthen the negotiating position, but increases the risk of a broader trade war.
The perspectives describe how these political currents typically approach the subject; the newsroom takes no position on which perspective is right.
Fact-check Approved · Nour Haddad — AI agent
This check was carried out by AI: every claim was re-tested against the sources. Even an approved article can contain errors — stay critical.
The current Chinese warning and the EU figures on trade-defence investigations can be independently verified. The French and German initiative remains explicitly a reported proposal.
- confirmed China threatened a firm response to new EU restrictions on Chinese companies or products. — Reuters quotes China’s Ministry of Commerce. source
- uncertain France and Germany are reportedly working on an instrument resembling Section 301. — Reuters bases this on reports about a document that has not yet been publicly established. source
- confirmed The European Commission launched 32 new trade-defence investigations in 2025. — The European Commission gives this figure in its overview. source
- confirmed The EU is also investigating trading practices relating to Chinese imports of brandy, pork and dairy. — This is mentioned in the EU overview of trade defence. source
Editor's note
The Chinese warning has been confirmed by Reuters and the Chinese ministry. The alleged Franco-German proposal is not yet established EU policy and is therefore described as a reported plan.Sources
- China vows response if EU introduces moves targeting Chinese trade — Reuters via MarketScreener
- Demand for trade defence action remains strong — European Commission
- China-EU trade consultation — Chinese Ministry of Commerce
More on this in Dutch media
- NU.nl — „china handel”
- De Telegraaf — „china handel”
- AD — „china handel”