China trade deficit is €1bn a day, EU chief says

European Commission President Ursula von der Leyen warned China on Wednesday that European Union trade talks must deliver results, saying the bloc would use “all tools” available to rebalance the relationship.

Speaking to the European Parliament in Strasbourg, von der Leyen said the EU's trade deficit with China was now one billion euros a day and had reached a tipping point.

“This is unsustainable and this is why we are engaged in a dialogue with China to rebalance our trade,” she said. “But this dialogue must now lead to results.”

Von der Leyen said the EU had been in talks with China since the summer over the imbalance. EU leaders have tasked her commission with preparing new tools to protect the bloc's industries.

The 27-country EU's goods trade deficit with China reached about 360 billion euros in 2025, meaning the bloc imported far more from China than it exported there.

Von der Leyen also said the EU would step up efforts to reduce what she called “dangerous dependencies” on China for many critical raw materials. She said Europe would establish a new European Corporation on critical raw materials to help obtain and stockpile what the continent needs.