European Commission (EC) president Ursula von der Leyen has doubled down on her commitments to defend European business interests in comments made after a tri-lateral meeting with French president Emmanuel Macron and Chinese president Xi Jinping

In a press conference following the meeting, von der Leyen said:

“As we have shown, we will defend our companies; we will defend our economies. We will never hesitate to do so if this is required.”

According to a press statement, the German president highlighted issues such as subsidised Chinese products – namely steel and electric vehicles – supply chain resilience and non-reciprocal market access.

‘Fair’ trade

On market access, von der Leyen said:

“For trade to be fair, access to each other's market also needs to be reciprocal. We discussed how to make real progress on market access. I remain confident that more progress can be achieved.

“At the same time, we stand ready to make full use of our trade defence instruments if this is necessary.”

Chinese foreign ministry spokesperson Lin Jian told a press conference that Bejing “hoped that the EU institutions will develop the right perception of China and adopt a positive China policy.”

“It is necessary that the two sides properly address economic and trade frictions through dialogue and consultation, and accommodate each other’s legitimate concerns.”

Von der Leyen called the EU-China relationship “complex”, saying that “Europe will not waver from making tough decisions needed to protect its economy and its security”, while emphasising that Brussels wanted a constructive relationship with China.

In an interview with The Economist before the meeting, Macron spoke of a need to renew and rebuild European prosperity to deal with economic and technological challenges, which included increased competition from abroad.

“So we need to build up our sovereignty, our strategic autonomy, our independence in terms of energy, materials and rare resources, but also in terms of key skills and technologies.”

Fergus McReynolds, head of international at the Institute of Export & International Trade (IOE&IT), said:

"With a great focus on competitiveness in Europe and with it being important to ensure trading partners are competing on a level playing field, it will be essential for the new EU Commission, due to be appointed later this year, to fully commit to open trade and confirm their ongoing commitment to the rules based system for international trade.

"In addition, the EU should be cognisant of the impact of trade disputes between large trading blocs, such as the EU and China, on other trading partners, particularly traders in low and middle income countries."

Trade defences

European authorities have flexed their muscles on trade issues recently.

Last month (23 April), the EU launched its first dawn raid on a Chinese company under anti-subsidy powers, and started a probe of alleged anti-competitive trade practices by China in the medical manufacturing industry.

The issue is also expected to feature during the ongoing European parliamentary elections, as von der Leyen is seeking re-election as EC president. She’s currently the lead candidate, representing the centre-right European People’s Party (EEP).

The other right-wing parties, Identity and Democracy (ID) and European Conservatives and Reformists (ECR), have also emphasised their desire to protect the European market, with the far-right ID warning of the “dangers” of the China-EU relationship.