Updated
Updated · Financial Times · Jul 23
De Gucht Urges EU to Curb Chinese Imports as Goods Deficit Nears €360 Billion
Updated
Updated · Financial Times · Jul 23

De Gucht Urges EU to Curb Chinese Imports as Goods Deficit Nears €360 Billion

2 articles · Updated · Financial Times · Jul 23

Summary

  • Karel De Gucht said the EU should use its market power more aggressively against Beijing, including shutting out more Chinese goods and considering 70% European-content rules for electric-car imports.
  • €360 billion in EU goods deficit with China last year—up from €104 billion in 2013—underpins his argument that current efforts are failing to stop cheap imports from eroding industries such as cars and chemicals.
  • De Gucht said member states weaken Brussels by pursuing separate ties with China, arguing Beijing exploits those divisions and that the bloc should not wait for new anti-coercion tools before acting.
  • 47% average anti-dumping duties he sought on Chinese solar panels in 2013 were diluted after Chinese retaliation threats, and Europe’s solar share has since fallen to 0.2% from about 30% in 2007.
  • 45 trade deals with 80 partners give the EU leverage, he said, as Brussels also works on supply-chain diversification and solidarity measures while the WTO dispute system remains paralyzed.

Insights

Can the EU stop a new China shock before cheap imports hollow out its car, chemical and clean-tech industries?
Why did Europe lose solar manufacturing to China, and is Brussels about to repeat the same mistake in EVs and telecoms?