From October 20 to 22, by the banks of Shanghai's Huangpu River, the 2026 Sustainable Global Leaders Conference returns once again. Nobel Prize and Turing Award winners will take the stage to discuss the future and trends of technology, and the internet-famous professor who "rescues" people from anxiety and the era of involution, McFarland, will hold a live dialogue with Xiang Biao!
Limited spots available, first come first served. Let us gather together for the sustainable appointment! [Click to register] From October 8 to 9, Minister of Commerce Wang Wentao and European Commission Executive Vice-President for Trade and Economic Security Maros Sefcovic co-chaired the second meeting of the China-EU Trade and Investment Consultation Mechanism in Beijing.
China and the EU reached 16 consensus points across four areas: trade and investment balance, export controls, intellectual property rights, and WTO reform. These include both sides reaching an understanding on hybrid vehicle trade in a manner consistent with WTO rules, continuing the price undertaking and review procedures for enterprises in the electric vehicle anti-subsidy case; both sides agreeing to continue exploring the possibility of reducing tariffs on certain goods under the WTO rules framework, and conducting technical dialogue on the EU Foreign Subsidies Regulation (FSR), among other content.
Both sides confirmed follow-up communication arrangements, including holding a ministerial-level video conference and convening the third meeting of the mechanism in March 2027.
Far East Commentary: This round of negotiations comes at a time when China-EU economic and trade relations have been continuously tense for several months. The two sides formed consensus in areas such as supply chains, trade rebalancing, automobile trade, intellectual property rights, and safeguarding the multilateral trading system, avoiding an escalation of friction. The consultation outcomes help ease the risk of friction in the new energy vehicle sector, maintain the stability of the China-EU automotive upstream and downstream supply chains, reduce export uncertainty for complete vehicles and parts industries, and safeguard external supply for Europe's green transition.
Currently, government bond markets in many European countries are under pressure. Bond yields and credit spreads of highly indebted economies such as France have risen significantly, and fiscal sustainability has attracted attention. The cooling of trade friction will also help reduce the tail risk of tariff-driven price increases forcing additional fiscal subsidies.
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