China
Europe’s Revitalized Engagement with China: Striking a Balance Between Competition and Cooperation
China hosted a series of high-level visits by senior Western leaders in early 2026 — including the Prime Ministers of Ireland, Canada, the United Kingdom and Finland, as well as the President of France and Chancellor of Germany. These visits had become less common because of the COVID-19 pandemic and trends towards economic de-risking. While economic cooperation with China continued, Western strategic documents have increasingly framed Beijing as an economic competitor, particularly in technology and trade, as well as a systemic rival.
But the international environment is shifting. New threats are emerging, the global order is evolving and US-driven trade wars have reshaped EU foreign policy.
The growing number of visits by Western leaders to China amid worsening relations with the United States may be interpreted as a signal of their desire to reduce dependence on Washington and to pursue a more diversified foreign economic policy. Amid mounting domestic economic pressures, small and middle powers are increasingly exploring alternative partnerships. This approach involves expanding business engagement not just with China, but also with partners including India, Central Asia and Southeast Asia.
But the outcomes of some of these visits to China have been modest compared to expectations. Neither the visit of UK Prime Minister Keir Starmer nor German Chancellor Friedrich Merz resulted in the announcement of major new deals for their countries. Measures such as a 30-day visa-free regime for British citizens and a reduction in import tariffs on British whisky from 10 per cent to 5 per cent are relatively minor and fall short of the kind of substantive agreements typically expected from such high-level visits.
The deal between Airbus and China, presented as a key outcome of Merz’s visit, had already been announced earlier — which further underscores the limited tangible impact of the visit. On the other hand, the visits confirm that despite the rhetoric of ‘de-risking’, major Western firms remain committed to China in the long term.
Source : Europe’s renewed China outreach balances competition and cooperation



