China Warns of Countermeasures Over EU ‘Made in Europe’ Plan

Beijing raises concerns as bloc moves to boost domestic industries

April 27, 2026 at 11:51 AM
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BEIJING, China: China signalled a firm response to the European Union’s proposed “Made in Europe” plan, while calling for balanced trade cooperation as both sides navigate growing industrial competition.

The proposal, introduced earlier this year, aims to strengthen EU industries by setting minimum requirements for locally produced components in sectors such as automotive, green technology, and steel, particularly for companies seeking access to public funding.

Beijing’s commerce ministry said it had formally conveyed its position to the European Commission, expressing “serious concerns” over what it described as “systemic discrimination”.

“If the EU… presses ahead with the legislation, and thereby harms the interests of Chinese companies, China will have no choice but to take countermeasures to firmly safeguard the legitimate rights and interests of its enterprises,” the ministry said in a statement.

Focus on industrial competitiveness

The EU initiative is part of broader efforts to enhance competitiveness, support local manufacturing, and address concerns over job losses in key sectors.

European industries have long argued that they face challenges competing with heavily subsidised Chinese firms, particularly in emerging technologies such as electric vehicles and battery production.

The proposed legislation, formally known as the Industrial Accelerator Act, could require foreign companies to partner with European firms and share technical expertise when operating within the bloc.

Business groups have warned that the measures may affect broader trade dynamics.

The Chinese Chamber of Commerce to the EU recently cautioned that the plan could signal a shift towards protectionism, potentially impacting cooperation between the two economies.

Despite the differences, both sides are expected to continue engagement to manage trade relations and maintain economic stability.

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