Credited from: CHANNELNEWSASIA
French President Emmanuel Macron has expressed serious concerns regarding China’s significant trade surplus with the European Union, threatening punitive measures, including tariffs, if the situation remains unaddressed. During his state visit to China, Macron stated, "If they do not react, we Europeans will be forced to take strong measures following the example of the United States, such as imposing tariffs on Chinese products," according to Channel News Asia and The Jakarta Post.
The EU's trade deficit with China has become a significant concern, exceeding 300 billion euros, and Macron accuses China of "effectively killing their own customers" through their current trade policies. He noted that the surplus is "unsustainable" and asserted the EU might have to follow the U.S. in implementing substantial tariffs if there is no action from China. Macron emphasized this point, stating, "We are caught between the two and it is a matter of life or death for the European industry," according to South China Morning Post and The Jakarta Post.
Macron also underscored the need for cooperation on various fronts, pointing to the environmental impact of current practices and advocating for an increase in reciprocal trade measures. He highlighted that European industries are suffering due to these imbalances, exacerbated by U.S. protectionism, and called for "mutual respect" in trade practices, according to Channel News Asia and South China Morning Post.
In his remarks, Macron suggested that the EU might lift restrictions on exports of semiconductor-manufacturing equipment if China reciprocated by easing its export limits on rare earth materials. This proposal aims to create a more balanced trade framework that benefits both Europe and China, although analysts argue that achieving consensus among EU members, particularly Germany, remains a challenge due to differing economic interests, as noted in South China Morning Post and The Jakarta Post.
Nonetheless, Macron's administration is prepared to act collectively, stating that they could bypass individual nations' vetoes to protect European markets. The message to China is clear: without cooperation, Europe may impose stringent tariffs to safeguard its economic interests, according to South China Morning Post and Channel News Asia.