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China retaliates, bans EU medical devices in trade dispute

  • By Al Mayadeen English
  • Source: Agencies
  • 7 Jul 2025 00:14
  • 2 Shares
2 Min Read

Amid a $357.1 billion trade imbalance, China has retaliated against European medical device firms over procurement restrictions.

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  • China bans EU medical devices in trade dispute
    President of the European Union Chamber of Commerce in China, Jens Eskelund, talks during a press conference for the latest report on European companies in China on January 9, 2025, in Beijing (AP)

In response to the EU’s exclusion of Chinese firms from major medical equipment contracts, China has retaliated with its own ban on European companies, marking a sharp escalation in trade tensions between the two economies.

China’s Finance Ministry announced Sunday that EU firms, except “those with European capital established in China, will have to be excluded." Additionally, non-European companies submitting bids must ensure EU-made products account for no more than 50% of their total offer.

The new restrictions, effective immediately, apply to a broad range of goods including prosthetics, surgical instruments, and medical machinery.

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Despite the move, China’s Commerce Ministry emphasized its continued openness to resolving disputes through dialogue, stating that Beijing remains willing to reach negotiated solutions with Brussels in the area of public procurement.

Brussels after key sectors of Chinese markets

China and the EU face a massive trade imbalance, with the deficit reaching $357.1 billion in favor of Beijing. To help narrow the gap, the European Commission has proposed that China open its government procurement market, particularly for EU-made medical devices.

Brussels is also pushing for greater access to other key sectors of the Chinese market, including electric vehicles, rail infrastructure, solar energy, and wind power, areas where European companies are eager to expand.

In a bid to ease tensions and rebuild ties, China’s top diplomat, Foreign Minister Wang Yi, visited EU headquarters last week. His trip also included stops in France and Germany, aiming to strengthen bilateral relations with the 27-member bloc.

At the same time, Beijing continues to deepen its strategic partnership with Moscow. Wang reaffirmed China’s commitment to strengthening diplomatic and economic cooperation with Russia, a relationship that has grown significantly in recent years, particularly in the wake of the Ukraine war. 

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