Brussels’ ‘Made in Europe’ Plan Face Beijing Backlash

A new proposal means companies may need to meet EU local-content requirements in order to access subsidies or public contracts.

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Leather factory workers in Xinji, Hebei, China.

A new proposal means companies may need to meet EU local-content requirements in order to access subsidies or public contracts.

A group representing Chinese companies has criticised a new European Union proposal designed to strengthen the bloc’s industries, warning the plan risks shifting toward protectionism and could harm economic cooperation between China and Europe.

Brussels has introduced new rules designed to support companies applying for public funds in strategic sectors, including steel, aluminium, cement, electric vehicles, and renewable technologies. Under the proposal, firms would need to meet minimum requirements for EU-made components to qualify for subsidies or public contracts.

The European Commission said the initiative is intended to reverse Europe’s industrial decline and address growing dependence on foreign supply chains. Brussels wants manufacturing to represent 20% of EU GDP by 2035, up from roughly 14% today. Policymakers argue that without targeted intervention, Europe risks further deindustrialisation as geopolitical competition intensifies.

However, the Chinese Chamber of Commerce to the EU (CCCEU) strongly criticised the proposal, stating

We express serious concern and opposition regarding certain provisions of the proposal that may have far-reaching implications for market openness, fair competition, and China-EU economic and trade cooperation.

The chamber warned that the current design of the legislation risks shifting toward “a more exclusionary and protectionist framework.”

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