China and the European Union have committed to enhancing their trade relations and addressing economic tensions through continued dialogue, following high-level consultations in Beijing. This development comes as Chinese Commerce Minister Wang Wentao and European Commissioner for Trade and Economic Security Maroš Šefčovič co-chaired the second meeting of the China-EU trade and investment consultation mechanism.
The discussions covered several key issues, including trade imbalances, export controls, and intellectual property rights. Both parties agreed on the importance of resolving disputes constructively to maintain stable economic ties. They also explored ways to improve market access, strengthen trade monitoring, and consider potential tariff reductions within the framework of World Trade Organization (WTO) rules.
A major focus of the meeting was the trade of electric vehicles, particularly concerning the EU’s anti-subsidy case involving Chinese electric vehicles. The two sides reviewed price undertakings and agreed to continue discussions to address export control concerns, facilitate compliant trade, and ensure stable global supply chains.
The consultations also highlighted opportunities for expanded cooperation in areas such as artificial intelligence, renewable energy, digital services, and green technology. Both China and the EU expressed interest in increasing mutual investment and emphasized the need for fair, transparent, and predictable business environments for companies operating in each other’s markets.
Discussions extended to regulatory concerns affecting sectors like pharmaceuticals, medical devices, cosmetics, and agricultural products. The meeting concluded with a commitment to implement the agreed outcomes and continue negotiations. A ministerial-level video meeting is planned for January 2027, followed by the third trade and investment consultation meeting in March 2027.
