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Regulation Macro

Economic Daily: Equal Negotiation Is the Right Path to Resolve China-EU Differences

China’s Economic Daily said equal consultation is the only proper way to resolve China-EU trade frictions, rejecting claims that EU pressure on China over hybrid vehicle talks has worked. The paper criticized the EU’s “dual-track” approach, floated at a recent EU summit, of continuing intensive consultations while stepping up restrictions on China, including possible use of the “anti-coercion” instrument, saying it misreads the basis of the two sides’ understanding and undermines mutual trust.

Original source

AI take

The significance here is less about the hybrid vehicle talks themselves than about the framing: Beijing's flagship economic paper is publicly rejecting the premise that pressure has moved China, which narrows the space for the EU's dual-track approach to be presented as productive. The explicit warning that invoking the anti-coercion instrument would erode mutual trust signals where Beijing is drawing its line, and it matters most for European exporters exposed to any escalation beyond autos. Whether the EU treats the anti-coercion instrument as leverage or as a last resort is the open question to watch.

Generated by AI for reference only.

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