Topic
Politics EU China

EU toughens stance toward China

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European Union countries agreed to take a tougher line against China’s industrial power, a move that could intensify trade tensions between the two sides.

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Thoughts for @bloomberg.com: " #Beijing’s concessions on cars are aimed at preventing the European Council from mandating a sharper toolkit." www.bloomberg.com/news/article...
EU Risks Bigger China Trade Fight With Plans to Expand Curbs
After getting China to accept limits to its car exports, the European Union is already eyeing follow-up action in other industries — setting up their next trade clash.
www.bloomberg.com
October 16, 2026 at 11:25 AM
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Reposted by Richard Baldwin

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Free trade agreements can be used as international policy tools to mitigate the negative effects of geopolitical risks. papers.ssrn.com/sol3/papers...
October 16, 2026 at 10:00 AM
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As Merz and Macron find an agreement to further water down EU emission regulations for cars, I go back to these words, from a peer-reviewed study into the reasons why China overtook Europe on clean tech.
"EU & American institutions provided incumbent firms with policy access, enabling them to shape policymaking, leading to weaker policies and slower (clean-tech) transitions (while) Chinese institutions shielded policymakers from incumbent firm lobbying" doi.org/10.1016/j.er...
October 16, 2026 at 12:12 PM

Reposted by Iikka Korhonen

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@ec.europa.eu @ecb.europa.eu #Eurogroup to set up a dialogue with China to discuss macroeconomic policy.
We aim to foster mutual understanding, sustainable growth and a vibrant industry while preserving the rules-based international order.
We look forward to continuing this work.
October 16, 2026 at 6:02 AM
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The ironic thing about it all is that the European car market *will* electrify very fast irrespective of all these gimmicks.

"You had a choice between war and dishonour. You chose dishonour, and you will have war" - just replace ICE and EVs.

Plus the tech transition will belong even more to China.
October 16, 2026 at 12:21 PM

Reposted by Giulio Mattioli

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"Chinese policymakers unleashed new entrants and rapidly scaled clean-tech manufacturing, while EU and American policymakers mostly worked with incumbents (which enabled the latter to slow the pace of change)"
"EU & American institutions provided incumbent firms with policy access, enabling them to shape policymaking, leading to weaker policies and slower (clean-tech) transitions (while) Chinese institutions shielded policymakers from incumbent firm lobbying" doi.org/10.1016/j.er...
October 16, 2026 at 1:08 PM
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1) The US & former West Europe (⊂ EU) are almost perfectly matched in GDP by purchasing power parity (PPP), including in rate of loss of global share (fig 1).
2) The EEA is presently deriving more market capitalisation valuation from our AI patents than China is (fig 3).
October 16, 2026 at 8:06 AM

Reposted by Stefan Auer

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