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Why Trump tariffs do not push China and Europe closer

On June 20, 2023, the European Union flags and China stand near the 2023 chancellor in Berlin.

Sean Galop | Getty Images | Gets the image

China and the European Union are unlikely to soon become close allies, analysts say, even if US President Donald Trump tariffs Sour relations between the world’s largest economy and its transatlantic allies and Beijing.

“I do not see the EU and China united against the US,” said Max Bergman, Director of Europe, Russia and Eurasia at the Center for Strategic and International Studies (CSIS).

At the geopolitical level, two powers can be open to greater participation, but economic contractions and existing issues related to trade and competition are the main obstacle, he explained.

“The potential for the EU and China’s economic alignment is limited because they are both export economies, and therefore are tough competitors, especially in car and clean technological sectors,” Bergman said.

“I think on both sides there will be interest, but deep practical restrictions for both. If China is not ready to make big concessions, I fight to see the EU that brings together a deeper involvement strategy.”

EU-Chinese tensions

EU and China have a moody relationship. While China-single of the EU’s largest trading partners, besides the US, economic relations between them are also historically characterized by investigations and measures for Tat for TAT related to trade.

The EU has long claimed that Beijing subsidizes key sectors such as electrical vehicles, batteries and steel and aluminum in such a way that it is harmful to world markets and competitiveness. Last year, the EU got to China tariffs on electric vehicles.

In what was considered retaliation, Beijing launched anti-dumps to pork and cognac to the EU, as well as an anti-subsidic study of EU dairy products.

And not only the trade is aroused by the EU-Kita, said CNBC Karsten Nickel, the head of the director of Teneo.

He added that there are “fundamental differences” between them, no matter what happens to the US “

“This is due to unresolved issues over the excess of power in China. This is due to constant doubts in the European Parliament, especially in relation to the human rights situation, and it is related to the problems of supporting China and Ukraine,” he explained.

Jan Bremmer, the founder and president of the Eurosia group, also noted that there is a “deep” European distrust of China in areas such as intellectual property and technological supervision, as well as industrial policy.

This “does not leave when the US becomes an enemy,” he said CNBC.

Attempts to connect

Analysts believe that China may try to take advantage of US-EU ties to establish a closer connection with the EU.

“China is particularly seeing the opportunity to break the transatlantic alliance and bring Europe closer,” said Bergman CSIS.

On the back, some Europeans may imagine that “hedging between the US and China, and may make China reduce the support of Russian defense and economically opening,” he added.

It seems China and the EU were closer.

Only Thursday was reported that two planned to look into the tuning Minimum prices for Chinese electric cars Instead of EU tariffs. Spanish Prime Minister Pedro Sanchez On Friday, he met with Chinese President Xi Jinping in Beijing and called for more balanced relations. Chinese Foreign Minister Van Yi Also visited Europe Earlier this year, it stands for closer ties and deeper cooperation.

Earlier this week, the President of the European Commission Ursul von der Leyen and Chinese Prime Minister Lee Ten spoke on the phone – although the EU leader “emphasized the critical role of China in solving a possible sabotage caused by tariffs” and urged Beijing to work on the negotiating issues caused indication From the European Commission proposed.

The language used around the call from the European side looked “softer” than in the past, Nickeel Tennea noted.

Change forward?

Ultimately, Nickel says: “The focus is on the management of this very difficult situation for the global economy.”

Nickeel said this does not mean that the major problems in European relations with China have gone over the night.

Tariffs in the US can even make it more complex between China and the EU, Nickeel offered as they could worsen existing problems such as exceeding Chinese exports.

Emre Peker and Mujtab Rahman the band repeated the idea on Thursday.

“The trade sabotage as the US-China tariff struggle will push the European Commission to quickly deploy measures to prevent China and other countries,” EU goods resetting their goods, “they said.

Separately, “Trump tariffs will make Brussels strengthen its trading position against Beijing outside the current efforts to counteract the economic imbalance with China, threatening the European industry,” said Eurosia analysts.

At the same time, European politicians will use “soft rhetoric” towards China to avoid launching a two fronts. “But it is unlikely to translate into cooperation in Brussels-Bidin against Washington,” they summarized.

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