EU draws up rules to limit reliance on Chinese suppliers
The European Union is drawing up new rules to make sure companies in important sectors, like chemicals and industrial machinery, aren't putting all their eggs in one basket with Chinese suppliers.
The plan? Companies will need to buy parts from at least three different sources, and no single supplier can provide more than 30% to 40% of what they need.
It's all about making supply chains stronger and less vulnerable, especially for things like semiconductors and electric vehicle materials.
Maros Sefcovic mulls tariffs on China
The EU is facing a daily trade deficit of €1 billion with China, which has leaders pretty concerned.
Trade Commissioner Maros Sefcovic is even considering tariffs on Chinese chemicals and machinery to help balance things out.
Last month, he teamed up with the US to secure critical minerals and cut back on reliance on China.
These draft rules are set for discussion on May 29, and if all goes well, EU leaders could give the green light by late June.