Story perspectives

EU Unveils Diversification Plan, Reviews China Trade Deficit

6/5/2026

Summary

Story summary

EU trade chief Maroš Šefcovic announced a diversification instrument modeled on the Energy Union to reduce reliance on China.
EU leaders will review the diversification proposal at the 18–19 June European Council summit and consider an overcapacity instrument for six sectors.
China warned of countermeasures as the EU-China goods trade deficit rose to €360 billion in 2025, with member states split between France’s push for tougher probes and Germany’s call for caution.

1 of 1

Story summary

EU trade chief Maroš Šefcovic announced a diversification instrument modeled on the Energy Union to reduce reliance on China.
EU leaders will review the diversification proposal at the 18–19 June European Council summit and consider an overcapacity instrument for six sectors.
China warned of countermeasures as the EU-China goods trade deficit rose to €360 billion in 2025, with member states split between France’s push for tougher probes and Germany’s call for caution.