EU Considers Rebalancing Trade Relations with China Amid Massive Deficit

The European Union's industry chief said on Wednesday that the EU must rebalance its trade with China, as Brussels refocuses on its economic and trade ties with Beijing. According to AFP, the EU's trade deficit in goods with China exceeded 360 billion euros (approximately 13.1 trillion NTD) last year, leading to growing calls to address the imbalance. Stephane Sejourne, the European Commission's executive vice-president for industrial policy, stated that while trade openness remains a priority for Europe, the current deficit of over 360 billion euros means 'we need to rebalance our trade relations.' The Commission will hold a special debate on May 29 to discuss how the 27-nation bloc should adjust its China policy to create a level playing field. EU officials revealed that discussions are also underway regarding a visit to Brussels by Chinese Commerce Minister Wang Wentao late next month. Following the Commission's debate, European leaders will meet in Brussels on June 18-19 to further discuss EU-China trade relations. Trade friction between the two has escalated in recent months. Tensions rose after Beijing implemented export restrictions on rare earths last year, highlighting Europe's high dependence on China, the world's largest producer of rare earths. Furthermore, Brussels has taken several measures to protect the EU market from what it calls 'unfair Chinese competition,' including imposing tariffs on small parcels from China.