The European Union holds a special meeting on China, and China warns of firm countermeasures against trade restrictions
Miles Bennett
The EU is preparing restrictions on Chinese goods across 27 sectors, but deep internal divisions cloud enforcement; Beijing has warned it will hit back decisively, marking a new escalation in EU-China trade friction.
What was this EU meeting about?
On May 29, the European Commission held a closed-door session to discuss restrictions on Chinese goods covering 27 sectors — trade, defense, health, and more.
The session was groundwork for the June 18 EU summit. In plain terms = align positions internally first, then formally decide at the summit.
Executive Vice-President Séjourné said the EU would systematically deploy quotas and tariffs to shield its chemicals, metals, and clean-tech industries.
Where does the first cut land?
The opening move targets steel: by July 1, the EU plans to slash duty-free steel import quotas by 47% to 18.3 million tonnes.
Above-quota tariffs would double to 50%.
This means → the cost of shipping Chinese steel into the EU rises sharply — tighter quotas plus doubled tariffs create a two-layer squeeze.
Is the EU actually united on this?
Far from it. France pushes a hard line, while Germany and Czechia urge caution; Spain has already withdrawn its supporting documents.
German Economy and Energy Minister Reiche led a delegation to Beijing on a cooperative footing; EU Clean Transition Vice-President Teresa Ribera openly opposed von der Leyen's confrontational stance.
This reflects a gap between Brussels' push for a unified China policy and member states charting their own course. Put simply = headquarters wants to call the shots, but capitals are steering independently.
How did Beijing respond?
A Chinese Ministry of Commerce spokesperson said on the afternoon of May 30: "Should the EU insist on unilaterally rolling out new trade tools and imposing discriminatory restrictions, China will countermeasure firmly and take effective steps to safeguard its interests."
The language is unmistakable — "countermeasure firmly" plus "effective steps." This means → if the EU follows through, Beijing will very likely act in reciprocal sectors.
Both sides are exploring a trade and investment consultation mechanism to resolve friction through dialogue, but the negotiation window is narrowing.
Will these restrictions actually work?
Analysts note that with visible internal divisions, the EU's push for broader protectionist coverage may not deliver the intended results.
In plain terms = a policy its own members can't agree on is hard to enforce effectively.
The period from the June 18 summit to the July 1 steel-quota deadline is the key window for watching whether the EU can genuinely coordinate its internal stance.
Content is for reference only, not financial advice.