Since late 2024, the EU has imposed tariffs of up to 45% on Chinese electric vehicles, prompting fierce opposition from Beijing. Restrictions on China's access to European energy projects and China's own curbs on rare earth exports have added fuel to the fire. Two Chinese banks were recently sanctioned over alleged ties to Russia, signaling a shift in EU enforcement.
Experts warn that while the trade imbalance deepens — with China's exports rising and EU exports stagnating — the lack of trust between the two powers complicates efforts to ease tensions. Both sides face mounting challenges in key sectors like automotive and pharmaceuticals.
This video summary was created by AI from the original DW script. It was edited by a journalist before publication.