French Presidency

Rule Changes

With Germany, now pressing the Commission to create a new tool for responding to Chinese market distortions after the October 2026 deal

In October 2026, the EU and China defused the trade war that Emmanuel Macron threatened in December 2025. The interim deal caps Chinese hybrid and plug-in hybrid car exports to Europe at 350,000 a year for four years. China, in turn, will cut tariffs on €4 billion of European goods from January 2027 and fast-track rare-earth export licences for EU buyers.

Updated Nov 2