Dear ICES friends,
We are delighted to present the latest issue of our bi-weekly newsletter.
Few relations are as crucial and valuable as the ones - past, present, and future - connecting
Europe and China. At ICES, we believe that regular knowledge-sharing can be the bedrock that empowers
mutually beneficial partnerships and the foundation for fruitful collaborations. Every first and
third week of the month, we highlight the latest developments and fresh ideas across various fields
to enhance cross-continental communication and understanding. We invite you to explore the key
news highlights, insights, and top event recommendations from the past two weeks.
The ICES' Takeaway from this Edition
The past two weeks brought renewed engagement and tension in EU–China relations. The first
EU–China Parliamentary Dialogue since 2018 signalled a resumption of high-level exchanges,
though sharp disagreements persisted.
Meanwhile, trade frictions deepened over rare-earth export controls and the Nexperia case, prompting
EU Trade Chief Valdis Dombrovskis to hold talks in Brussels with China’s Commerce Ministry amid
warnings from the automotive industry about reduced production caused by chip shortages. Dombrovskis
confirmed that China’s suspension of October's rare-earth controls also applies to the EU.
At the global level, the EU–China–U.S. triangle remains central to current dynamics.
The Xi–Trump talks at the ASEAN summit in Busan, which produced a 12-month framework "trade
truce" on tariffs and rare-earth controls, signalled limited easing between Washington and
Beijing. For the EU, maintaining a balance between its transatlantic ties and relations with
China remains difficult. Going forward, enhanced EU–China cooperation on global governance,
especially climate and rule-setting, could help rebuild trust and stability. To achieve
this, both sides need more in-depth and effective dialogues to reduce misunderstandings and
misperceptions, identify potential areas of cooperation, and acknowledge issues on which
they would agree to disagree.
NEWS ROUND
THE WEEKS' HIGHLIGHTS: PROGRESS & PITFALLS
China's suspension of rare earth controls applies to EU: EU trade chief says
Euractiv, October 31, 2025
EU Trade Chief Valdis Dombrovskis said on Friday that China’s suspension of rare–earth export controls also applies to the European Union.
Netherlands-China chip war terrifies European car industry
Politico, October 23, 2025
The European car industry is concerned about chip shortages amid current supply–chain pressures following the Dutch seizure of Nexperia. This could threaten vehicle production lines.
EU-CHINA RELATIONS
China and France Hold Strategic Dialogue
Chinese Ministry of Foreign Affairs, October 16, 2025
Chinese Foreign Minister Wang Yi and French Presidential Diplomatic Adviser Emmanuel Bonne held the 27th China–France Strategic Dialogue in Hangzhou, where both sides discussed strengthening strategic communication and cooperation to advance stable, long-term bilateral relations.
Statement by the Bureau of the EP Delegation for relations with the People's Republic
of China (D-CN) after the 42nd EU-China IPM
European Parliament and
South China Morning Post, October 16, 2025
During the first formal meeting between European Parliament and National People’s Congress delegates since 2018, held in Brussels, extensive discussions were conducted on the full range of issues in the EU and China’s relation. Opposing or diverging views were exchanged regarding issues including NATO, Russia and Taiwan. Both sides agreed to continue these exchanges next year.
Europe’s Auto Industry Stabilizes But China Competition Intensifying
Forbes, October 19, 2025
Europe’s auto industry is stabilising but faces intensifying competition from China, particularly encouraged by EU regulations and in the field of electric vehicles.
China overtakes US as Germany's top trading partner
Reuters, October 22, 2025
From January to August 2025, Germany’s two–way trade with China reached €163.4 billion, surpassing trade with the U.S. at €162.8 billion and making China its largest trading partner again. At the same time, U.S. tariffs reduced German exports, and concerns over increasing Chinese imports grow.
European luxury groups hedge bets on predicting China comeback
Reuters, October 22, 2025
European luxury groups are cautiously optimistic about a potential revival in China after a two–year sales slump.
China opposes EU listing Chinese enterprises in Russia sanctions package
Xinhua, October 23, 2025
China has strongly urged the EU to immediately exclude Chinese firms from its 19th sanctions package against Russia. A spokesman warned that these listings undermine economic cooperation and energy security, and announced that they would take necessary measures if Chinese enterprises remain on the list.
Macron Tells EU to Weigh Using Strongest Trade Tool on China
Bloomberg, October 23, 2025
Emmanuel Macron told EU leaders that if talks with China on its rare–earth export controls fail, the bloc should consider deploying its anti–coercion instrument.
Insight: Pressure grows on Europe to act on Chinese import surge
Reuters, October 24, 2025
European industries are pressing the European Commission to take strong action against the increasing low–cost imports from China. However, some voices call for caution as they fear retaliation.
Commission preliminarily finds TikTok and Meta in breach of their transparency
obligations under the Digital Services Act
European Commission, October 24, 2025
The European Commission preliminarily found that TikTok and Meta breached parts of the Digital Services Act. Instagram and Facebook appear to breach their obligations to provide users with simple mechanisms to notify illegal content and to effectively challenge content moderation decisions.
German foreign minister postpones China trip amid rising tensions
Reuters, October 24, 2025
Germany’s foreign minister, Johann Wadephul, postponed his planned trip to China due to a lack of scheduled meetings and rising bilateral tensions.
European Union seeks to end dependency on China for rare earths
Euronews, October 25, 2025
The EU is launching the REsourceEU plan to end its reliance on China for critical raw materials. The initiative is intended to strengthen strategic sectors by diversifying supplies, boosting recycling, and investing in domestic production.
China willing to work with EU to keep bilateral ties on right track
Xinhua and
European Council, October 27, 2025
Chinese Premier Li Qiang met with European Council President Antonio Costa in Kuala Lumpur, saying that the current China–EU relationship faces both development opportunities and challenges, and both sides should stay on the right course in developing their relations, solidify the foundation of political mutual trust and further implement their consensus.
GLOBAL GOVERNANCE INSIGHTS SELECTED BY THE ICES
EU Finally Has a Plan to Fend Off the US and China, But It’s Running Out of Time
Bloomberg, October 18, 2025
The EU is struggling to protect its industries from growing U.S. and Chinese competition. EU officials plan measures to reduce strategic dependencies and strengthen Europe’s defence and industrial base.
CPC plenum concludes, adopting recommendations for China’s 15th Five-Year Plan
Chinese State Council,
South China Morning Post
and
Xinhua, October 27, 2025
The fourth plenary session of the Communist Party of China’s 20th Central Committee concluded in Beijing, where it adopted the recommendations for the 15th Five-Year Plan (2026–2030) and reaffirmed the leadership of Xi Jinping and his guiding ideology. The plan identifies “technological self-reliance and self-strengthening” as a central objective and outlines policy directions for sustainable growth, innovation, and social development through 2030.
China’s top diplomat Wang Yi hails ‘multipolar world’ ahead of Trump–Xi talks at
Apec
South China Morning Post, October 27, 2025
Ahead of the meeting between Presidents Trump and Xi, China's Foreign Minister Wang Yi underlined Beijing’s vision for global governance, stating that “a multipolar world is emerging”. He called for an end to the politicisation of economic and trade issues.
ICES-NOTED REGIONAL ISSUES
China criticises UK for delaying ruling on new embassy
Reuters, October 20, 2025
After the United Kingdom again postponed its decision on approving China's plan for a new embassy in London, Beijing accused the UK of lacking "credibility and ethics" and of politicising the process.
Implementation of the Agreement: Toward a NEW GOLDEN AGE for the U.S.-Japan Alliance
The White House, October 27, 2025
The United States and Japan, following a leaders’ meeting, announced the implementation of their “New Golden Age” agreement to deepen economic security cooperation and jointly promote global prosperity.
Trump, Xi agree to pause dueling port fees that disrupted trade
Reuters and
Xinhua, October 30, 2025
U.S. and Chinese leaders agreed to pause reciprocal port fees that had strained global trade flows for 12 months, highlighting commitments to dialogue and cooperation on key commercial issues.
WHAT CAUGHT OUR EYE: CURRENT RESEARCH AND COMMENTS
MERICS Forum: How can the EU navigate China’s rare earths export controls
MERICS, October 24, 2025
According to Ron Bousso, Europe’s offshore wind sector is facing a key dilemma as Chinese firms dominate critical parts of the supply chain, from turbines to rare-earth magnets, raising concerns about dependency, national-security risks, and the cost and time required for diversification.
Europe’s offshore wind sector faces dilemma over China’s grip on sector
Reuters, October 23, 2025
At the MERICS Forum, six experts offered different approaches on how the European Union could navigate China’s rare-earth export controls, ranging from short-term negotiations with Beijing to long-term diversification, as well as the use of the Anti-Coercion Instrument, setting price floors, increasing state investment, and elevating the issue to an economic and national security emergency.
EVENS
Over the past two weeks, the ICES has actively participated in a series of events. We are delighted to share some of our insights:
On 24 October, the China–Belgium Technology Center hosted the 7th China–Belgium Science and Technology Exchange Symposium.
The event featured discussions on topics such as AI-empowered collaboration among industry, academia, and research institutes, China–Europe innovation in life and health sciences, and young scholars’ innovation exchange.
On October 30, Institute for China–Europe Studies co-organised the 2025 Annual Conference of Institute for China–America Studies in Washington, D.C., together with the Carter Center and the National Institute for South China Sea Studies.
The event covered topics such as U.S.–China strategic competition and global conflict, as well as trade, technology, and the future of global fragmentation.
CONTACT WITH US
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Linkedin: Institute for China-Europe Studies (ICES)
Website: ices-eu.org
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Thank you for being a part of our newsletter community! We appreciate your continued support and engagement. Stay tuned for more exciting updates in our upcoming editions. If you have any suggestions or feedback, we would love to hear from you.
Please note that all news and views cited in this bulletin, if not otherwise indicated, do not represent the position of ICES.