Post #6067

🇪🇺🇨🇳EU Develops New Trade Tool Targeting Chinese Overcapacity The European Commission is consulting EU industry groups on a new trade instrument aimed at countering Chinese industrial overcapacity. The tool's details remain undisclosed, but it is scheduled to be presented to Commission President Ursula von der Leyen on May 29, ahead of a formal summer proposal. The move reflects Brussels' push to build a broader defensive trade architecture beyond existing anti-dumping and countervailing duty mechanisms. It comes as EU-China trade tensions remain elevated, with prior actions taken on EVs, solar panels, and steel — sectors where Chinese state-backed overproduction has undercut European manufacturers. Industry consultation at this stage signals the Commission is seeking political cover before formal publication, with the instrument's legal basis and scope still being shaped. #EU#China @asianomics