Mired in Economic Troubles, China Can’t Afford Trade War With EU: Analysts
Squeezed by weak demand at home and U.S. tariffs, Beijing needs Europe to absorb its overcapacity, experts say.
TL;DR
- China's economic woes and U.S. tariffs are making the EU a vital outlet for Chinese overcapacity.
- Beijing cannot afford a trade war with the EU due to its current economic situation.
- European manufacturers are losing global market share to China's industrial transformation.
- The European Central Bank noted that German companies have been particularly hard-hit.
- The EU's trade deficit with China has reached a critical "tipping point."