EU faces €1bn-a-day China trade deficit, Maros Sefcovic in Beijing
World
The EU is dealing with a huge trade deficit with China: trade deficit running at more than one billion euros a day, thanks in part to a flood of Chinese hybrid cars.
EU trade commissioner Maros Sefcovic recently headed to Beijing for tough talks, as the deficit hit €360.6 billion in 2025 and started putting real pressure on Europe's industries.
EU plug-in hybrid imports jump 86%
After the EU slapped tariffs on electric cars in 2024 (but skipped plug-in hybrids), imports of Chinese plug-in hybrids jumped 86%.
Brussels asked China to ease up, but Beijing said no.
Now, with job cuts at Volkswagen showing how serious things are getting for European automakers, EU leaders have to decide: do they pull the "kill switch" and block some imports, or keep trying to negotiate?