In misfiring over China complaints, EU risks shooting itself in the foot

South China Morning Post

14-07-2025

As the EU-China summit approaches, European Commission president Ursula von der Leyen has delivered a series of
pointed criticisms against China, accusing Beijing of distorting trade, flooding global markets with subsidised goods and enabling Russia's war economy amid the Ukraine crisis.
These remarks have resonated with many in Europe concerned about economic imbalances and geopolitical tensions. Yet, such a narrative oversimplifies a complex relationship and risks undermining the very cooperation the European Union needs to navigate global challenges.
One of von der Leyen's central criticisms is China's
trade surplus with the EU, which she links to unfair trade practices and market 'flooding'. But this framing misses the bigger picture. Trade imbalances between two economic giants like China and the EU are shaped by a multitude of factors – from macroeconomic conditions and consumer demand to industrial structures and supply chain realities.
China's export strength is not simply a product of state manipulation or
subsidies , as some Western politicians claim. Instead, it reflects decades of investment in innovation, infrastructure and manufacturing efficiency. China's leadership in
electric vehicles , for instance, is a testament to its capacity to develop cutting-edge products that compete on quality, not just cost.
Meanwhile, China has repeatedly expressed its willingness to
expand imports of high-quality European goods. Yet the EU continues to impose barriers on Chinese companies, particularly in sensitive areas such as the public procurement of
medical devices . These restrictions distort fair competition. It is misleading to place the entire blame on China without acknowledging the EU's protectionist tendencies.
Von der Leyen's call to 'speed up with de-risking' reflects concerns about China's strong presence in global markets. But China's competitive edge is largely due to market dynamics and sustained investment in innovation, not simply state subsidies.