Trade relations between the European Union and China are expected to be at the center of upcoming discussions as the imbalance between imports and exports continues to deepen. In July 2026, the EU’s trade deficit with China reached €36.5 billion, compared with €32.2 billion in the same month last year.
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During the first seven months of 2026, the overall trade gap reached €234 billion, around €21 billion more than in the January–July period of 2025, The Guardian reports, citing an analysis of Chinese customs data by the Mercator Institute for China Studies (Merics).
Merics figures show that in July alone, the deficit amounted to around €1.18 billion per day. The trade ratio has therefore exceeded three to one: for every €1 worth of goods the EU sells to China, it imports €3.10 worth of Chinese products.
The issue is also expected to be discussed during the visit of European Commissioner for Trade Maroš Šefčovič to Beijing on October 8, where he will hold meetings with his Chinese counterpart.
European Commission President Ursula von der Leyen has stressed that this imbalance in bilateral trade must be addressed.
Brussels is considering, among other measures, imposing quotas on hybrid vehicles and certain categories of chemicals imported from China.
Hybrid vehicles are one of the areas in which the presence of Chinese products on the European market has expanded significantly. Sales of non-plug-in hybrid vehicles rose from just under 4,000 units in October 2024 to around 50,000 units in July 2026.
This increase followed the EU’s decision to impose additional tariffs on electric vehicles manufactured in China, while hybrid electric vehicles were not affected to the same extent.
The Financial Times has reported that the European Union has asked China to voluntarily impose restrictions on hybrid vehicle exports to the European market.
In addition to vehicles and chemicals, economic relations between the EU and China also involve the supply of rare metals, which are important to the automotive industry and other strategic sectors.
