BEIJING, July 24 — Chinese President Xi Jinping has urged the European Union to “make correct strategic choices” during a tense one-day China-EU summit in Beijing, where key topics included deepening trade friction, the Ukraine war, and rare earth export policies.
The summit, marking 50 years of China-EU diplomatic ties, was held under a cloud of rising tensions, with the meeting duration abruptly halved at Beijing’s request. European Commission President Ursula von der Leyen and European Council President Antonio Costa traveled to China for direct talks with Xi and Premier Li Qiang.
“The more severe and complex the international situation, the more China and the EU must strengthen communication, enhance mutual trust and deepen cooperation,” Xi told the EU leaders, according to state broadcaster CCTV.
“Chinese and European leaders should… make correct strategic choices that meet the expectations of the people,” he added.
Focus on Trade Imbalance and Rare Earth Export Controls
The run-up to the summit was dominated by EU-China trade disputes, accusations of market distortion, and growing concerns over Chinese industrial overcapacity—particularly in electric vehicles and green technology.
Trade imbalance, market access, and China’s rare earths policy topped the agenda. In April, China imposed new export controls on rare earths, disrupting global supply chains and causing temporary shutdowns at some European automotive production lines in May.
However, recent customs data shows that China’s rare earth magnet exports to the EU rebounded sharply in June—rising 245% month-on-month to 1,364 metric tons, though still 35% below the same period last year.
Ukraine War, Electric Vehicles Also Under Scrutiny
European leaders were also expected to raise concerns over China’s position on the Ukraine war, and push back against what they view as unfair support for Chinese electric vehicle manufacturers.
In parallel, the EU is reportedly nearing a trade agreement with the United States that would impose a 15% tariff on EU exports—avoiding a harsher 30% rate previously floated by former President Donald Trump.
Strategic Messaging from China
Xi’s remarks are being widely interpreted as a veiled warning to Brussels not to align too closely with Washington in economic and geopolitical matters. The emphasis on “correct strategic choices” underscores China’s push for a multipolar world order, where it sees the
