Macron Warns of EU Tariffs on China Over Growing Trade Deficit

During a recent visit to Chengdu, French President Emmanuel Macron sharply criticized the expanding European Union trade deficit with China, threatening to impose tariffs on Chinese products within the coming months if Beijing fails to act. In an interview with Les Echos, Macron stated, "If they do not react, we Europeans will be forced to take strong measures… like tariffs on Chinese products," aligning Europe’s potential actions with recent U.S. tariff reductions from 57% to 47% on Chinese goods.

Macron expressed deep concern about the negative impacts of the rising deficit on Europe's industrial and innovation models, citing sectors such as automotive and machinery as particularly vulnerable. He highlighted how U.S. protectionist policies under the Trump administration diverted Chinese exports towards Europe, exacerbating the imbalance. Macron acknowledged the challenge in uniting the EU on the matter, especially with Germany’s strong economic ties to China.

Despite his warning, Macron underlined that Europe must remain open to Chinese investments in key industries, including electric vehicles and renewable energy, but cautioned these should not be "predatory" or designed to create dependency. He called for the EU to protect its most vulnerable sectors and renew competitiveness policies involving market simplification, innovation funding, and adjusted monetary measures.

This firm stance marks a significant intensification in France’s approach to China-EU trade relations, emphasizing a need for Europe to assert itself amid shifting global trade dynamics. Macron's call for a balanced yet protective strategy aims to safeguard European industrial interests while maintaining openness to beneficial foreign investment.