EU Plans New Instrument to Counter Dependency on China

Sweeping Changes in the Works EU Plans New Instrument to Counter Dependency on China

2026-06-22 Source: dpa | Translated by AI 1 min Reading Time

The EU Commission is considering a new instrument to reduce dependency on critical raw materials from China ...

The EU Commission believes that new means must be developed to help minimize the Union's dependency on critical raw materials from China. However, as the saying goes, the details are unclear ...(Image: EU) — The EU Commission believes that new means must be developed to help minimize the Union's dependency on critical raw materials from China. However, as the saying goes, the details are unclear ...
(Image: EU)

A new way to become less dependent on Chinese raw materials is necessary to reduce risks. This was expressed, at least, by the EU Commission President Ursula von der Leyen after a meeting of the EU heads of state and government. She spoke rather vaguely of clear support for a European response based on the unity of member states and dialogue with China. The EU must address the issue of global imbalances— easier said than done! And no concrete measures were mentioned. However, the talks among the heads of state and government in Brussels apparently did not concern tariffs. The EU is currently heavily dependent on China for several raw materials, such as magnesium and rare earths for all kinds of electronic components and electric motors.

Table Talks About the Future of Europe

China also imposed export controls in April 2025. The measure was understood as retaliation for the tariff policies of U.S. President Donald Trump, which particularly affected China. However, German companies are also feeling the negative effects. Last week's G7 summit already led to plans to introduce caps on the import of certain raw materials in order to reduce the EU's susceptibility to coercion. Every high-risk sector must be freed from dependence on a single supplier. Europe must make more proactive and strategic use of the instruments at its disposal to protect the market from unfair practices, recommended von der Leyen. (Incidentally, the top politicians discussed the issue over dinner).

Closer cooperation between the capital markets in Europe has been under negotiation for many years. The six largest EU economies have now taken a step forward, according to reports. However, this also entails stricter controls ... (Image:Flaggilus)

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