France warns Beijing: Tariffs or reduction of the trade deficit

French President Emmanuel Macron threatened China to introduce tariffs “in the coming months” if Beijing does not take steps to reduce the trade deficit with the European Union.

“I told them that if they do not react, we, Europeans, will be forced to take decisive action in the coming months (…) following the example of the United States, for example (introducing) tariffs on Chinese products,” Macron said in an interview for the “Les Echos” newspaper published on Sunday. The French president concluded his state visit to China on Friday.

According to him, the situation is worsened by the protectionism of the administration of US President Donald Trump. “This intensifies our problems because it redirects the massive inflow of Chinese goods to our markets,” he said.

“We are currently caught between two stones and it is a matter of life and death for the European industry,” he noted.

However, he admitted that creating a common European front on this issue would not be easy because Germany, which has a strong presence on the Chinese market, is “not quite on our team yet.”

During his visit to China, Macron said that in order to reduce its trade deficit with China, Europe should accept Chinese investments. “We cannot constantly import. Chinese companies should come to Europe,” he said in “Les Echos”. (PAP)

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