Trade relations with the US
Ministers held a discussion on the EU’s trade relations with the US, providing guidance for the forthcoming work.
In light of the recent developments, particularly the (partial) imposition of US tariffs, the ministers took this opportunity to assess the impact of these new tariffs and explore the potential for negotiating mutually acceptable solutions, which remains the EU’s preferred approach.
Further to the EU’s response in relation to the US tariffs on steel and aluminium, which is currently under preparation, ministers also addressed the possibility of further proportionate countermeasures if needed.
The EU deeply regrets the new US tariffs and remains committed to dialogue, seeking a negotiated solution acceptable for both sides. Today’s Council shows the member states are united and determined to defend interests of citizens and businesses alike. We support the European Commission and our response will be guided by patience and firmness. All options remain on the table.
Michał Baranowski, Undersecretary of State at the Ministry of Economic Development and Technology of Poland, responsible for Trade
Looking ahead, the Commission and member states will carefully assess any potential new US measures, as well as the latest tariffs announced (a 20% tariff on the EU).
The aim is to ensure that the EU’s approach remains both balanced and effective, protecting our economic interests while keeping the door open for mutually advantageous solutions.
Trade relations with China
The Council reviewed the current state and future outlook of EU-China trade relations.
Commissioner Šefčovič briefed ministers on the status of the EU’s trade ties with China following his visit to the country. He reported on his discussions with Vice Premier He Lifeng, Minister of Commerce Wang Wentao, and Minister of Customs Sun Meijung, focusing on how to improve and rebalance trade and investment relations between the EU and China.
China remains a key trading partner for the EU: it is the EU’s third-largest trading partner and the second-largest in terms of trade in goods. However, the growing trade imbalances continue to raise concerns.
The EU-China trade deficit for 2024 reached €304.5 billion; while this is an improvement compared to the 2022 figures (€397 billion), it nonetheless represents a record high in terms of volume. In 2024, Chinese foreign direct investment (FDI) into the EU reached its highest level in the past five years, amounting to €185 billion, while EU FDI in China remained stable at €184 billion.
We acknowledge The European Times for the information.
