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EU Prepares Defenses as China Trade Tensions Escalate

7/21/2026

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Summary

Story summary

EU officials are intensifying talks with China as trade tensions rise.
Brussels is preparing for a possible trade war, seeking an off-ramp and adding deterrents to protect manufacturing from a projected “China Shock 2.0.”
Analysts disagree on whether the EU and China are already in a trade war, while few in Brussels share U.S. President Donald Trump’s March 2018 view that trade wars are easy to win.

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Story summary

EU officials are intensifying talks with China as trade tensions rise.
Brussels is preparing for a possible trade war, seeking an off-ramp and adding deterrents to protect manufacturing from a projected “China Shock 2.0.”
Analysts disagree on whether the EU and China are already in a trade war, while few in Brussels share U.S. President Donald Trump’s March 2018 view that trade wars are easy to win.