A wave of new US tariffs on Chinese goods is pushing the European Union to reconsider its economic and political ties with both Washington and Beijing. As the US pressures Europe to align more closely with its tough stance on China, the EU faces a dilemma: risk trade friction with the US or open itself further to Chinese investment, especially in high-value sectors like green technology and electric vehicles. China, meanwhile, is shifting its investment focus to receptive European countries such as Hungary and Slovakia. The EU is under mounting pressure to protect its industries from redirected Chinese exports while also negotiating a complex web of alliances. The outcome of these shifting dynamics could reshape global trade and the EU’s strategic position for years to come.
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