Why should EU worry about an escalating US-China trade rift?

The ongoing trade war between China and the US has led to significant tariffs, with 125% on Chinese imports to the US and 84% on US exports to China. This escalation is expected to increase prices for US products like beef and Californian wine in China.

Despite these tensions, Beijing residents remain largely unfazed, believing the impact on daily life will be minimal, though import-export firms may suffer. Experts warn that redirected Chinese goods could flood European markets, stressing the need for effective communication and trust between Brussels and Beijing to manage potential overcapacity.

 

This video summary was created by AI from the original DW script. It was edited by a journalist before publication.