China warns France, Germany against ‘protectionist’ trade tools

China cautioned France and Germany against adopting "protectionist" trade tactics on Tuesday, following their leaders' call for the European Union to establish a legal framework for a possible trade conflict. French President Emmanuel Macron and German Chancellor Friedrich Merz conveyed in a letter to European Commission President Ursula von der Leyen that "a credible instrument" for rapid and decisive action was necessary.

This could involve restricting access to the European single market if required, though the letter did not directly mention China. The matter arose just days before EU trade commissioner Maros Sefcovic was set to visit Beijing to address trade tensions. China's commerce ministry responded on Tuesday, urging France and Germany to "refrain from encouraging the EU to resort to protectionist tools at every turn."

The ministry expressed hope that the two nations, as major global economies, would maintain openness, cooperation, and free trade, and cautioned against taking the "wrong path" that could ultimately harm them. Both France and Germany aim to grant the European Commission the authority to address trade aggression within days, without needing approval from the EU's 27 member states, though a majority could still block such action.

For the EU, its trade deficit with China is a key concern, as Brussels claims it is harming crucial European industries. In response to the leaders' letter, China's foreign ministry stated that the economic and trade relationship between China and the EU is "mutually beneficial" and called for dialogue and consultation to maintain global industrial and supply chain stability.