EU and China need a grand bargain to avoid a trade war

AI Summary

European and Chinese leaders face tension as potential trade war risks rise, particularly due to anti-subsidy investigations into Chinese green technology. Recent diplomatic talks attempt to navigate away from escalations in trade and economic relations.

As European leaders convened at the European Council meeting in Brussels this month, the spectre of a full-blown trade war with China cast a long shadow over the proceedings. Amid ongoing anti-subsidy probes into Chinese green technology and the looming threat of retaliatory tariffs, the economic bedrock of the China-EU relationship appears increasingly fragile. Yet, beneath the hawkish political rhetoric, recent high-level meetings between European officials and their Chinese counterparts...