The German Parliament's "China Committee" recommends that the EU must prepare tougher trade policy tools against China

(Deutsche Welle Chinese website) Experts commissioned by the German Bundestag suggest that stronger trade policy tools against China should be prepared at the European level. The committee responsible for reviewing the economic and security relations between Germany and China stated in its first semi-annual report: "If China takes escalatory measures in the trade dispute, the EU should have the ability to retaliate."

The report also pointed out: "Given China's export-oriented economic model, using the conditions for access to the European single market as a bargaining chip is a key means." "Le Monde Sunday Edition" reported this expert report.

The committee is composed of professionals from 13 institutions, including academics, foundation representatives, corporate lobbyists and union figures. The Bundestag decided to establish this agency in November 2025.

Experts believe that Germany's economic security situation with China has generally worsened since the commission was established. The report stated: "Germany's supply chain has become increasingly dependent on China, China's potential influence on Germany's critical infrastructure remains huge, and the links between the two parties in the technical field, including in sensitive areas, remain close." The committee warned that if effective countermeasures are not taken, the costs of inaction will rise.

According to the document, experts believe that the strategy of positioning China as a "partner, competitor and institutional adversary" has failed: "From a German and European perspective, the competitive dynamics and growing risks largely obscure other aspects of the bilateral relationship." Beijing's willingness and ability to use economic dependence as a means of pressure is growing. “China is deliberately building leverage and has repeatedly demonstrated its willingness to use it.”

Therefore, the establishment of a common action framework within the EU is seen as necessary. Response strategies against China should be coordinated within each member state and at the EU level. “No single EU member state can cope with the challenges posed by Chinese actors on its own,” the experts wrote.

Chairman of the Confederation of German Industry: Firmly defend interests

The Confederation of German Industry (BDI) is also a member of the committee. Peter Leibinger, president of the federation, wrote in a guest article for the Sunday edition of Le Monde: "The EU must continue its dialogue with China, but also resolutely defend its economic interests." He demanded that tools against dumping and unfair subsidies must work faster and more uniformly.

On Friday, the European Union reached an agreement in its trade dispute with China that China will reduce exports of hybrid vehicles to Europe. Committee member Jürgen Matthes of the German Economic Institute in Cologne criticized this. He told Der Spiegel: "Imposing countervailing duties on Chinese imported products that threaten European production is a better and more targeted way to deal with China's serious distortion of competition." He believes that such tariffs can eliminate the artificial price advantages of Chinese manufacturers.