China threatens strong countermeasures if EU enacts anti-Chinese trade tool

China's commerce ministry announced it would mount a resolute reaction should the European Union move forward with a new trade instrument aimed at Chinese companies. The ministry described the draft measure, reportedly prepared by several EU members, as a typical protectionist and unilateral action that could destabilise bilateral trade. It cautioned that increasing pressure on China would damage mutual trust and hinder ongoing consultations.

Beijing said it could deploy a "strong policy toolbox" that includes anti-discrimination investigations, security reviews of supply chains and scrutiny of foreign subsidies. The statement referenced one outlet's report linking the warning to comments from Rhodium Group adviser Noah Barkin, who noted Germany and France are finalising a joint paper to push the European Commission toward a Section 301-style mechanism. The potential clash underscores rising tensions over trade rules between the two blocs.