The European Union and China began high-stakes trade talks in Beijing on October 8, 2026, seeking concessions on Europe’s mounting deficit, market access, rare-earth export controls and surging Chinese vehicle shipments while trying to prevent a wider trade confrontation.
EU Trade Commissioner Maroš Šefčovič is meeting Chinese Commerce Minister Wang Wentao during two days of negotiations aimed at producing results before an EU leaders’ summit on October 15–16. The EU’s goods deficit with China exceeded €1 billion a day in 2025 and reached about €360 billion for the year, according to European Commission data. Brussels wants Chinese commitments to open the domestic market to European companies and to address sharp increases in Chinese exports to Europe.
The discussions also cover China’s controls on rare earths and other critical minerals, which European manufacturers say threaten supply-chain stability. Vehicle trade has become an additional flashpoint, with China rejecting an EU request for voluntary limits on hybrid-car exports as Brussels considers stronger safeguards. Beijing has warned that new European restrictions could trigger firm retaliation, raising the stakes even as both sides publicly emphasize dialogue.