TREE NEWS update: China’s state newspaper People’s Daily published an article urging European politicians to abandon a ‘triple positioning’ of China and the ‘de-risking’ narrative, warning that ‘China shock 2.0’ rhetoric erodes mutual trust. It argues that normal market competition should not be framed as systemic rivalry, and that interdependence is not a security risk. Europe’s industrial anxiety should not make China a scapegoat.
China’s People’s Daily urges Europe to correct cognitive bias
This is a state-media signal aimed at reshaping Europe's policy narrative rather than a market event. Its significance lies in China's pushback against 'de-risking' framing, which directly influences trade and investment sentiment for firms exposed to EU-China supply chains. The call to separate market competition from systemic rivalry suggests Beijing is seeking to stabilize economic relations amid industrial policy tensions. Watch whether European policymakers adjust their public stance in response, as that would affect regulatory and tariff expectations. The open question is whether this rhetorical shift translates into concrete diplomatic or trade concessions.
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