EU, China, tariffs

TLDR
Chinese firms criticized Mario Draghi's suggestion of tariffs to protect EU industries from Chinese competition, warning it could worsen trade tensions and disrupt the green technology supply chain. They advocate for cooperation over conflict, viewing China's role in green technology as crucial for global decarbonization, not as a threat.

Chinese firms operating in the European Union have expressed concern over Mario Draghi's suggestion that tariffs might be necessary to protect European industries from foreign competition, particularly from China.

The China Chamber of Commerce to the EU (CCCEU) criticized Draghi's portrayal of China as a "high-risk supplier" of critical minerals and his claims about Chinese overcapacity in green technologies. Draghi's report on EU competitiveness proposed tariffs to counter unfair competition. Still, it cautioned against systematically adopting protectionist measures like the U.S.

The CCCEU warned that such tariffs could escalate trade tensions between the EU and China and disrupt the global supply chain for green technologies, vital for addressing climate change. Instead of imposing restrictive measures, the CCCEU called for a cooperative approach between Brussels and Beijing to promote sustainable development and meet the rising global demand for clean energy technologies.

The CCCEU further criticized Draghi's call for the EU to diversify its supply of critical minerals away from China, suggesting that labeling China as a high-risk partner overlooks the benefits of collaboration. According to the chamber, China's production capacity should be seen as an opportunity to drive global decarbonization at competitive prices rather than a threat to European industries.

These remarks come amid rising trade tensions between Brussels and Beijing, including China's anti-dumping probe into EU dairy imports and EU duties on China-made electric vehicles. Additionally, geopolitical tensions over China's relationship with Russia and Taiwan's political status further complicate relations.
 
Thanks for reading. Please follow my blog and write your feedback.