The European Parliament has called for a tougher European Union (EU) response to China over trade imbalances, economic practices and Beijing’s relationship with Russia, warning that relations between the two sides have reached a critical point.
Members of the European Parliament (MEPs) adopted a recommendation on EU-China political relations on Wednesday, October 7, 2026, with 454 votes in favour, 86 against and 110 abstentions.
The recommendation calls for greater economic reciprocity, urging China to open its markets and use its influence over Russia to help end the war in Ukraine.
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The vote comes as the EU steps up efforts to address its widening trade deficit with China and reduce its dependence on Chinese supplies of critical raw materials.
EU Trade Commissioner Maroš Šefčovič is visiting Beijing for discussions with Chinese Commerce Minister Wang Wentao on Thursday and Friday, October 8 and 9. The talks are expected to focus on trade imbalances, market access and restrictions affecting rare earth elements and other critical minerals.
European Parliament Criticises China’s Relationship With Russia
The European Parliament’s recommendation reflects growing concern among European lawmakers about China’s relationship with Moscow and its implications for the war in Ukraine.
The text describes China as a “decisive enabler” of Russia’s war, citing Beijing’s diplomatic support and the supply of goods that help sustain Russia’s military-industrial capacity.
European officials have repeatedly expressed concern about the availability of dual-use goods in Russian supply chains. These products have civilian applications but can also be used to manufacture or support military equipment.
Lawmakers are urging Beijing to use its influence over Moscow to help bring the conflict to an end.
The disagreement over Russia forms part of broader tensions between China and the EU, which also include concerns about human rights, security in the Taiwan Strait and developments in the South and East China Seas.
The recommendation represents the European Parliament’s political position and calls for further action; it does not itself introduce new sanctions against China.
China’s Rare Earth Restrictions Raise Concerns in Europe
China’s dominance in the processing of rare earth elements has become a major concern for European policymakers seeking to protect strategic industries.
Rare earth elements are used in electric vehicles, wind turbines, electronics, defence equipment and other advanced technologies. Their specialised properties make them difficult to replace in many applications.
China controls a significant share of global rare earth production and processing, leaving European manufacturers heavily dependent on Chinese supplies.
In April 2025, Beijing introduced export controls on seven heavy rare earth elements and related products, requiring exporters to obtain licences. China subsequently announced additional controls in October 2025, although the second wave was temporarily suspended until November 2026.
The restrictions highlighted the risks associated with concentrated supply chains, particularly for industries that need reliable access to critical materials.
European policymakers have since sought to diversify suppliers, strengthen domestic production and improve the resilience of supply chains.
The latest parliamentary recommendation adds to calls for the EU to respond more firmly if China uses its control over strategically important materials to exert economic pressure.
EU Considers Stronger Measures Against Economic Coercion
European lawmakers have urged the EU to consider stronger responses if Beijing weaponises Europe’s dependence on critical raw materials.
One existing mechanism is the EU’s Anti-Coercion Instrument, which is designed to deter and respond to economic coercion by countries outside the bloc.
The instrument provides a legal framework for potential countermeasures when a foreign country uses or threatens economic measures to pressure the EU or one of its member states into changing a policy decision.
Depending on the circumstances and applicable procedures, possible countermeasures can affect trade in goods and services, investment, intellectual property rights and access to public procurement markets.
However, the instrument is not automatically activated by a trade dispute or by the adoption of a parliamentary recommendation. Any action must follow the applicable EU procedures.
The parliamentary vote therefore signals support for considering stronger measures but does not mean that new countermeasures against China have already been imposed.
France and Germany Propose a New EU Trade Mechanism
The debate over Europe’s trade policy intensified on October 5 after France and Germany proposed a new mechanism to help the EU respond more quickly to economic distortions and unfair trading practices.
French President Emmanuel Macron and German Chancellor Friedrich Merz presented proposals to European Commission President Ursula von der Leyen, arguing that systemic market distortions threaten Europe’s industrial base.
The proposed mechanism would seek to address issues including dumping, widespread subsidies and restrictions on currency convertibility.
The two countries also called for measures to reduce dependence on single sources for critical supplies and suggested that the EU should have greater flexibility to restrict access to its internal market when necessary.
Although China is widely seen as the main potential focus of the initiative, the proposal does not formally name a particular country as its target.
The mechanism remains a proposal and would require approval through the EU’s legislative process before it could become operational.
It is also distinct from the existing Anti-Coercion Instrument, which specifically addresses economic coercion.
EU-China Trade Talks Face Mounting Pressure
The diplomatic discussions in Beijing come as Brussels seeks concrete progress in addressing the growing imbalance in trade with China.
Reuters reported on October 7 that the EU’s goods trade deficit with China exceeded €1 billion per day, underlining European concerns about the effects of rising imports on domestic industries and employment.
European officials are seeking improved access for EU businesses in China, alongside greater predictability in trade and the supply of critical raw materials.
The talks follow months of discussions between the two sides, with Šefčovič seeking tangible results that could be presented to EU leaders at their October 15–16 summit in Brussels.
European Commission President Ursula von der Leyen has previously warned that the trade imbalance has reached a tipping point and that the EU is prepared to use available policy tools to rebalance the relationship.
China, meanwhile, has criticised some European trade measures as protectionist and has defended its own economic policies.
The outcome of the negotiations could influence the next steps in the EU’s approach to trade relations with Beijing.
What Happens Next?
The European Parliament‘s recommendation adds political pressure on EU institutions to adopt a firmer position towards China on trade, economic security and its relationship with Russia.
However, further action will depend on the outcome of the Beijing negotiations, decisions by the European Commission and member states, and the progress of proposals for additional trade-defence measures.
For the EU, the challenge is to maintain an important economic relationship with China while protecting European industries, diversifying critical supply chains and addressing wider geopolitical concerns.
The latest developments signal a growing willingness among European lawmakers to push for a more balanced relationship with Beijing, while leaving the next steps to the EU’s political and legal processes.
