Europe reroutes trade
After the 2025 tariff war, European countries have redirected shipments and supply chains toward non‑tariffed markets, while China offset U.S. losses by expanding trade with Southeast Asia, Europe and Africa. (euronews.com) At the same time Washington has kept selective trade controls — for example a 25% tariff on certain semiconductors re‑exported to China from January 14 — and talks between the U.S. and allies about 'balanced trade' are ongoing. ( )
Europe’s trade map shifted after the 2025 tariff fight, with companies in the European Union redirecting shipments and sourcing away from newly penalized routes. (euronews.com) Eurostat said the European Union exported €199.6 billion of goods to China in 2025 and imported €559.4 billion, leaving a €359.8 billion deficit. Exports to China fell 6.5% from 2024, while imports from China rose 6.4%. (ec.europa.eu) Chinese customs data showed the same rerouting on Beijing’s side in 2025: trade with the Association of Southeast Asian Nations rose 9.7% in the first eight months, and China’s January-to-April trade with the bloc reached $331.1 billion. In the same January-to-April period, China’s trade with the European Union was $247.3 billion and with the United States $200.1 billion. (english.www.gov.cn; english.customs.gov.cn) Washington did not unwind the tariff regime wholesale. The House of Commons Library said the United States began charging a 25% tariff from January 14, 2026 on specific semiconductors re-exported to China, while keeping negotiations open with some countries. (commonslibrary.parliament.uk) The United States and the European Union also put a formal label on those talks in August 2025, when both sides announced a framework on “reciprocal, fair, and balanced trade.” The White House said the United States would apply a 15% tariff on many European Union goods, with some sectors moved back to normal most-favored-nation rates from September 1, 2025. (whitehouse.gov; policy.trade.ec.europa.eu) Brussels has not treated the shift toward China as a clean reset. On March 19, 2025, the European Commission imposed definitive anti-dumping duties on Chinese glass fibre yarns, saying the move protected 1,200 European Union jobs. (policy.trade.ec.europa.eu) By April 15, 2026, Euronews reported that the Commission had moved against glass fibre produced by Chinese firms using Belt and Road routes to bypass European Union trade defenses. Industry groups and unions told Euronews the measures were narrower than they wanted and warned imports could keep rising. (euronews.com) European governments are also splitting over how far to go with Beijing. On March 26, 2026, the Commission rejected German Chancellor Friedrich Merz’s suggestion of an European Union-China trade deal unless China addressed what Brussels called “distortive economic practices.” (euronews.com) Trade ministers are using the United States truce to look elsewhere at the same time. The Council of the European Union said ministers reviewed European Union-United States ties on November 24, 2025 and also focused on China and negotiations with India as those talks entered what the Council called a “decisive phase.” (consilium.europa.eu) The result is a trade system with more detours and more screening, not a return to the pre-2025 status quo. Europe is buying heavily from China, selling less to it, and trying to keep access to the United States while building other routes at the same time. (ec.europa.eu; commonslibrary.parliament.uk; consilium.europa.eu)
