EU launches import surveillance tool amid global trade turbulence, initiates dialogue with China

The European Commission (EC) introduced a new import surveillance tool on June 5, 2025, to monitor and address disruptive import surges, according to an official announcement. The system aims to prevent harmful trade diversion, where goods blocked from other markets due to high tariffs or restrictions are redirected to the EU, potentially destabilising its markets.“Recent disruptions in global trade have heightened the risk of trade diversion, with products facing barriers in high-tariff markets being redirected to Europe. This tool strengthens our ability to respond swiftly,” said Maros Sefcovic, Commissioner for Trade and Economic Security.
The EC has also established a dedicated task force to tackle trade diversion challenges, particularly in light of recent global trade tensions. Additionally, the Commission is initiating a dialogue with China to monitor potential trade diversion and address challenges collaboratively.
The EU has recently intensified scrutiny of Chinese imports. In May 2025, the EC imposed anti-dumping duties ranging from 13% to 62% on Chinese tinplate imports. That same month, it launched an investigation into whether anti-dumping measures are needed for imports of tires for passenger cars and light trucks from China, signalling a broader effort to protect EU industries.
EU-China trade tensions and rare earth restrictionsThe development occurs amid strained EU-China trade relations. On June 4, 2025, EU Trade Commissioner Maros Sefcovic met Chinese Commerce Minister Wang Wentao in Paris to discuss contentious issues, including EU duties on Chinese electric vehicles (EVs) and China’s anti-dumping measures on EU products, according to Reuters.

Further complicating relations, China imposed export restrictions on rare earth minerals and related products in April 2025, impacting global automakers, semiconductor manufacturers, and aerospace industries. These restrictions have raised concerns in the EU, which relies heavily on these materials for strategic sectors. The EU’s dependence on Chinese rare earths, coupled with these restrictions, has intensified the need for a resolution.

Upcoming EU-China talks

Trade tensions, including rare earth restrictions and EV duties, are expected to dominate discussions when EU and Chinese leaders meet in Beijing in July 2025. The talks aim to address these challenges and explore solutions to stabilise bilateral trade relations.

ALSO READ | India must invest in R&D and innovation to tackle rare earth crisis, say experts