The EU's trade talks with China must deliver results, European Commission President Ursula von der Leyen said on Wednesday, warning the bloc would "use all tools at our disposal to rebalance our relationship".
"Our trade deficit with China is now one billion euros a day. It has reached a tipping point. Some say the second China shock is looming. But it's already here," she said during a keynote speech to the European Parliament in Strasbourg.
"This is unsustainable and this is why we are engaged in a dialogue with China to rebalance our trade. But this dialogue must now lead to results."
Von der Leyen said: "Let me be clear: we will use all the tools at our disposal to rebalance our relationship."
"Words are good. But deeds are better."
The EU has been in talks with China since the summer to address its trade imbalance.
EU leaders have tasked von der Leyen's commission to prepare new tools to protect the bloc's industries.
The 27-country European Union's trade deficit in goods with China hit around 360 billion euros in 2025, meaning the EU imported way more from the Asian nation than it exported there.
Von der Leyen said the EU would step up efforts to cut its "dangerous dependencies" on China for many critical raw materials.
She said Europe would establish a "new European Corporation on critical raw materials" to help obtain and stockpile what the continent needs.
AFP
