According to the website of the Ministry of Commerce, on October 21, the Minister of Commerce Wang Ventao made an agreement with the European Commission's trade and economic security commissioner, Sergei Chovich, to hold a video conversation, and the two sides exchanged in-depth views on key China-European economic and trade issues such as export control, the EU's counter-subsidy to China electric vehicles. The two sides agreed to hold the "upgraded" China-European export control dialogue mechanism conference in Brussels as soon as possible in accordance with the 25th China-European leaders' consensus, and the European side also invited China's high-level economic and trade to Europe this week.

Wang Ventao said that regarding the issue of rare-earth export control, China's recent measures are the normal practice of improving China's export control system in accordance with the law, reflecting China's responsibility for safeguarding world peace and stability.

Shevcovic said that the EU is willing to work with China to implement the series of economic and trade consensuses between EU and Chinese leaders and properly handle economic and trade frictions. The EU understands that China has introduced export control measures related to rare earths out of national security and international common security considerations. During the implementation of the measures, it is hoped that China can speed up the approval of applications from European companies.

On the 21st, around issues such as Anselm Semiconductor, Wang Ventao should also have a meeting with the Dutch Minister of Economy, Karemans. Wang Ventao said that China urged the Netherlands to start from safeguarding the security and stability of the global supply chain, adhere to the spirit of contract and marketization, the principle of rule of law, as soon as possible properly solve the problem, protect the legitimate rights and interests of Chinese investors, create a fair, transparent and predictable business environment.

European News TV reported that the EU was a joint "victim" of the Sino-US trade dispute. As Sino-US economic and trade tensions escalated again, China issued new rare earth export control measures on October 9th, requiring relevant rare earth products, technologies and production equipment to be licensed from the Chinese side when exported, and to explain the end use. "This is unacceptable." Shefcovic said last week that China's strict approval process "hinders European companies from operating economically."

The Global Times reporter noted that when China issued relevant export control measures, it has repeatedly clarified this move as "preserving national security and interests, better fulfilling international obligations such as anti-proliferation", and has informed the major trade partners such as the United States, the European Union, Japan and others in advance. at the routine news conference on October 16, the Ministry of Commerce spokesman Hu Huang once again reiterated that the rare-earth export control measures are the normal behavior of the Chinese government in accordance with the law to improve its own export control system, and are not aimed at specific countries and regions, as long as it is used for civilian use, compliance export applications can be approved.

Beijing Language University National and Regional Research Institute deputy researcher Deng Yuan told the Global Times reporter on the 22nd that China has repeatedly clarified that the export of rare-earth exports to be controlled rather than restricted, compliance with the regulations applications can be approved. European concerns are based on the misunderstanding of the Chinese side in the geopolitical context, and this misunderstanding is based on the lack of objective basis.

Dong Yifan said that the essence of China-EU economic and trade relations is mutual benefit and win-win. The European side should establish a correct understanding, adhere to independence in handling economic and trade relations with China, and be not dependent on or subject to third parties. Restrain the use of restrictive trade tools, adhere to market principles, and provide a good business environment for Chinese enterprises to invest in Europe. Respecting each other's concerns and through dialogue and consultation is the correct way for the EU to seek agreement with China.

However, within the EU, the debate about China¡¯s trade policy is heating up. At the same time that Shevchenko urged not to escalate the dispute with China over rare earth issues, Germany, France and Poland supported the upcoming EU leaders¡¯ summit to discuss China¡¯s trade measures. According to Bloomberg, several European sources said that around China¡¯s regulatory exports of rare earth, France hoped that the EU would consider all possible retaliatory options against China, and Germany also held a similarly strong stance and was willing to discuss the use of a ¡°anti-coercion mechanism¡± in response. The mechanism came into effect in late 2023, allowing the EU to restrict trade, cut intellectual property rights or restrict foreign investment, and is seen as a ¡°nuclear option¡± in the EU¡¯s foreign trade game.