The EU has restated its readiness to launch a trade war with China over imports of cheap electric cars, steel and cheap solar and wind technology, withsaying the bloc will “not waver” from protecting industries and jobs after a meeting with the Chinese president, Xi Jinping.But she said the “imbalances” caused by state support for Chinese industry leading to cut-cost products threatened jobs in Europe, and that was “a matter of great concern”.
After the trilateral meeting, von der Leyen was blunt but insisted China had time to change direction. There has been repeated talk of China acting as a peace broker although it is not expected to attend a planned peace conference in Switzerland. Last September, von der Leyen announced an investigation into alleged state support for the Chinese electric cars, with conglomerate BYD launching an EV last year in the EU market at under €30,000 .
“Our market is and remains open to fair competition and to investments. But it is not good for Europe if it harms our security and makes us vulnerable The EU has been arguing that it is the largest free market in the world and China is essentially abusing its economic hospitality by dumping product in Europe rather than damping down production or ramping up demand in China.