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The European Union announced on Thursday that he had reached a preliminary agreement with China in order to raise restrictions on critical export of rare lands – restrictions that caused anxiety in European industries, threatening whole sectors.
The strict restrictions that began in early April at the height of a trade confrontation with the United States seriously affected the global proposal of seven elements of rare lands and magnets necessary for defense, energy and automotive industry.
“These restrictions exerted significant pressure on several European companies,” said the President of the European Commission Ursula von Der Leyen at the end of a one -day summit in Beijing. “In order to maintain confidence in our commercial relations, we need reliable and safe supplies of critical raw materials from China.”
Von Der Layen welcomed Beijing’s efforts to accelerate export licenses and create a new mechanism to combat delays in the supply chain. “We agreed – and this is new – with the upgraded export supply mechanism. In other words, if there are any problems, the system can immediately intervene to solve the problem. ”
Nevertheless, von der Luen emphasized that the essential balancing of the EU -China trade relations requires much more progress, which in 2024 recorded a trade deficit of more than 300 billion euros. This can be additionally increased in 2025 from low demand by Chinese consumers and high duties performed by US President Donald Trump.
“We have reached a clear turning point,” said the chairman of the committee. “As we said in the Chinese leadership in order to maintain trade useful for both sides, it should become more balanced. Europe welcomes competition, but it should be fair. ”
Von Der Laien has identified two additional points where the progress is “strong and necessary” in the short term:
Firstly, the eternal request of the EU about the greater and more free access to the Chinese market corresponds to the access that Chinese companies in Europe use.
Secondly, the problem of overproduction, which is associated with state subsidies in Beiing, which allow domestic manufacturers to put up artificial prices for damage to international competitors.
The dispute ended in October, when the EU imposed high duties by Chinese electric vehicles as compensation for subsidies. Beijing responded with control of European products, such as brandy, pork and dairy products – an action that Brussels described as unjustified.
As expected, the summit did not record significant progress in these fronts.
In a strict tone, von der Lane warned that if there are no Chinese concessions on the issue of overproduction, “the EU would be difficult to maintain the current level of openness.”
On its side, the President of the European Council Antonio Costa also expressed serious concern about today’s EU trade.
“Fair and mutually beneficial trade relations are possible and should be our common goal,” he said. “Now is the time to transfer today’s debate to practice.”
Constant tension
Official announcements on the Chinese side had a more positive tone, referring to “new opportunities and prospects” in the EU -Chinese relations.
At the same time, however, they contained the warnings of the commission to avoid the use of commercial measures against Chinese products – as was the case with electric cars and, recently, in the field of medical procurement.
“We hope that the EU will remain open to trade and investment, avoiding restrictive instruments and creating a healthy business environment for Chinese companies in Europe,” said President SI Jing.
The Chinese leader also criticized the policy of “detoxification” promoted by the EU, in order to reduce the strategic dependencies proposed by China – G7.
“Increasing competitiveness is not achieved through the construction of walls. The breakdown of supplies chains only leads to isolation, ”said Si.
The war in Ukraine remained a voltage point. The EU repeatedly accused China of acting as a “key supporter” of Moscow, providing 80% of the components used for the production of Russian weapons.
Beijing rejected these charges and confirms “cooperation without restrictions” with Russia.
“As a permanent member of the UN Security Council, China plays a decisive role and responsibility,” said Antonio Costa. “The war in Ukraine has global consequences. This is not just a “European conflict”.
Von der Lane called on China to use its influence in order to push Vladimir Putin to take a ceasefire – a goal that the West did not succeed, despite repeated sanctions.
“The way China will continue to deal with Putin’s war will become a decisive factor in our relations in the future,” the president of the commission warned.
The meeting was completed by a joint declaration of climatic actions before COP30.