The move marks a pivot for Germany, which previously resisted tariffs on Chinese electric vehicles but now seeks to counter what officials call "China shock 2.0." The EU's goods deficit with China reached €360 billion last year, and a senior official described the forthcoming measures as a "torture chamber" for trade partners. Trade Commissioner Maros Sefcovic lands in Beijing on Oct 8 with a more confrontational mandate to negotiate trade ties following the Franco-German push.
Tuesday, October 20, 2026
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France and Germany Propose EU Trade Kill Switch to Block China
Geopolitics14 days ago
A joint letter sent to European Commission President Ursula von der Leyen requests a new legal mechanism to purge foreign companies from the European single market on an expedited basis. The proposal for a "kill switch" would allow the EU to exclude specific products or entire nations within days to combat "systemic distortions" such as subsidies, dumping and currency manipulation. Under these proposed rules, the bloc would activate the tool via a Commission proposal that becomes law unless a qualified majority of member states votes against it.
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