Beyond Trump: Xi’s price wars and weaponisation of critical raw materials threaten European prosperity (Joris Teer – European Union Institute for Security Studies)

Critics blame Europe’s ‘summer of humiliation’ on the EU’s timidity in trade negotiations with President Trump. Yet the greater threat to European prosperity is Beijing’s two-front offensive against Europe’s industries. China provides unmatched state support for its industries, and shields them through local content requirements. Perhaps even more importantly, Beijing has invested strategically in the ‘deep infrastructure’ that underpins industrial competitiveness — abundant and affordable electricity, roads, railways, efficient ports, and a skilled workforce. Mass exports of below market-price products are the result, driving European automotive, semiconductor and other key industries out of global markets. This is hollowing out Europe’s industrial base.

Beyond Trump: Xi’s price wars and weaponisation of critical raw materials threaten European prosperity | European Union Institute for Security Studies