EU Wants To Stay Out Of Trade War With China

EU leaders are determined to stay out of a possible major trade conflict with China. This was stated by the President of the European Council, Charles Michel, in an interview with Bloomberg.

According to Michel, Brussels’s main task for the next few years will be to find a balance in trade and economic relations with China in order to “eliminate critical vulnerabilities,” including the EU’s growing dependence on imports of technology, goods, and services labeled “made in China.”

“It’s very bad that we are so dependent on one country,” said Michel, who will chair the US-EU summit on October 20 in Washington DC.

Michel extended an olive branch of peace after analyzing the possible losses that Europe risks suffering if a trade war breaks out between China and the USA. According to a recent study by German consulting firm Progus AG for the Bavarian Business Association, the economic and trade tug-of-war between the United States and China will lead to a 17% drop in European exports to Asia, trigger a loss of 58% in energy consumed by EU countries, and ultimately double the number of unemployed people in Europe.