European Commission bracing for Chinese trade disruption
The European Commission is preparing for a "China shock" that could cost the European Union its industrial sovereignty, Arthur Kharytonov, an expert on East and Southeast Asia and president of the Ukrainian nonprofit Liberal Democratic League of Ukraine, told Radio NV on Aug. 11.
The European Commission is gearing up for a potential China shock that could jeopardize the European Union's industrial sovereignty, according to Arthur Kharytonov, an Asia expert and president of a Ukrainian nonprofit. Kharytonov emphasized that the European Commission is bracing for the consequences of a new China shock, which could result in the EU losing control over its key industries. He pointed out that the technology sector, essential for industrial sovereignty, might be impacted by such a shock.
Kharytonov cited the automotive industry as an example of a pride of any nation. He noted that a nation without an auto industry faces significant problems and highlighted that Europe's auto industry has historically been a major producer of cars globally. However, the European auto sector is now facing challenges due to the influx of cheap electric vehicles from China. Germany's automakers, in particular, are being forced to lay off up to 100,000 workers.
The situation is affecting various European sectors, as China has flooded the market with low-cost goods. In May, Bloomberg reported that China holds an 11% share of the new-car market in Europe. EU Industry Commissioner Stéphane Séjourné told the Financial Times that the EU intends to strengthen protections against trade imbalances with China.
He mentioned that the EU might employ sectoral import quotas and tariffs to safeguard specific industries, such as chemicals, metallurgy, and clean technology, from unfair competition.
Written by urgent.news from New Voice of Ukraine's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
