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Tensions remain high as China and EU prepare for Brussels meeting on rare metals

2025-10-24 19:27:00, Kosova & Bota CNA

Tensions remain high as China and EU prepare for Brussels meeting on rare metals

A planned meeting between EU Trade Commissioner Maros Sefcovic and his Chinese counterpart was cancelled on Friday, after the European Commission opted for expert-level talks to ease tensions over Beijing's rare earth export controls, which EU leaders are calling economic coercion.

Beijing is accused by its European counterparts of using rare earth exports as a weapon.

These minerals are essential for EU industries, such as the automotive, defense, green technology and digital sectors.

"It is economic coercion," French President Emmanuel Macron said Thursday after a European summit, but without specifically recommending the use of what is considered a "nuclear option" of trade protection, the "Anti-Coercion Instrument."

In response to Chinese trade threats, Europeans adopted in 2023 a set of tools to counter pressure from third-country states through measures such as tariffs or restrictions on access to public procurement, licenses or intellectual property rights.

To activate it, a qualified majority of the 27 member states is required, which is not guaranteed given their diverse views.

Pressure from the 27 EU members

"We talked about the Anti-Corruption Instrument, but we didn't make any decisions," said German Chancellor Friedrich Merz after the summit.

Not all member states defend the same interests vis-à-vis the Asian giant, given their economic ties with Beijing.

However, under pressure from France, the 27 leaders agreed in their EU summit conclusions on the need for the Commission to "effectively use all EU economic instruments" to deter or counter external threats./ CNA





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