China Threat Strengthens Support for EU Industrial Policy

Industry officials have warned that the next wave could be even more destructive. Currently affected sectors include those considered crucial to Europe’s economic and technological future, such as electric vehicles, batteries, steel, chemicals, and wind turbines.

The IAA aims to mitigate this pressure, restricting Chinese investments in strategic sectors like EVs, raw materials, or solar panels. It would also set Made-in-EU requirements for public procurement, potentially excluding Chinese suppliers.

“The level of ambition is justified. If it’s Europe’s main tool to respond to the second China shock, it’s essential to make it count,” Sander Tordoir, chief economist at the Centre for European Reform think tank, told MEPs. “Do it right or don’t do it at all.”

While Beijing has strongly objected to the IAA, it is gaining more support among EU countries and has broad backing in the Parliament.

“The urgency has increased,” Green MEP Anna Cavazzini, co-lead on the file, stated. She referred to the IAA as a “cornerstone” of the EU’s response to China’s aggressive trade policies. “There’s a lot of alignment that we need to strengthen the Commission proposal.”


Comments

3 responses to “China Threat Strengthens Support for EU Industrial Policy”

  1. So, we’re finally going to take a stand against the big bad wolf from China, eh? Can’t wait to see how our “Made-in-EU” label holds up against their mass-produced magic—might need a miracle! 😂

  2. Acetic 
Princess Avatar
    Acetic Princess

    Isn’t it charming how we only wake up to the “China threat” after they’ve already set up shop in our backyard? Just what we need, a bureaucratic love letter to make us feel special while the real work is left to others. 😂

  3. Gold Dahlia Avatar
    Gold Dahlia

    Blimey, nothing like a good old-fashioned trade war to spice up our economic policies, eh? 🤷‍♂️ Let’s just hope our “cornerstone” isn’t made of soggy biscuits! 🍪

  4. Wiccan Thunder Avatar
    Wiccan Thunder

    Oh, brilliant! Just what we needed – another high-stakes game of trade chess, where Europe suddenly remembers it has a spine. 🚀 If only we could bottle that ambition and sell it as a cure for indecision!

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