The European Union plans to discuss China’s practice of flooding the European market with inexpensive products that harm local industries at an upcoming World Trade Organisation (WTO) meeting. EU Commissioner for Trade and Economic Security Maros Sefcovic emphasized the need for significant reforms within the WTO, highlighting the impact of China’s economic growth on global trade dynamics.
Sefcovic stressed the necessity for a recalibration of rights and obligations among WTO members in response to China’s economic ascent, aiming to address issues such as overcapacities that adversely affect the European economy. He advocated for a fair playing field, emphasizing the importance of addressing overcapacity and non-market practices effectively.
Amid a notable increase in Chinese exports to the EU, concerns have risen over the impact of US tariffs on European exporters, leading to a redirection of cheap Chinese goods to Europe. Data from Bruegel, an EU policy think tank, revealed a growing trade deficit between Brussels and Beijing, reaching $375 billion in 2025 from $335 billion in 2024. China’s global trade surplus also reached a record $1.2 trillion in the previous year.
In addition to the focus on China, Sefcovic called for the establishment of “new governance models” to streamline trade dispute resolution among EU member states. He highlighted the US’s actions, which have hindered the WTO court system by impeding the appointment of judges to the appellate body, allowing members to circumvent court rulings effectively.
China, as the world’s second-largest economy and the EU’s third-largest trading partner, became a WTO member in 2001, six years after the establishment of the international trade organization.
