China falls down EU’s agenda as both sides brace for impact when Trump returns

Brussels is hoping it can work with the incoming president on China but heavy tariffs and Elon Musk’s activities may scupper that plan

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Donald Trump has repeatedly attacked US allies in Europe and has threatened to impose tariffs. Photo: AP

Published: 5:00pm, 12 Jan 2025

Europe’s political class returned to work this week, greeted by a barrage of threats and taunts from across the Atlantic, a reminder that the congeniality that marked EU-US ties under Joe Biden’s presidency will not last the month.

During a news conference on Tuesday, president-elect Donald Trump aimed a series of broadsides at Europe.

He did not rule out the use of military force to seize Greenland, an autonomous territory of EU and Nato member Denmark, and told European allies to spend north of 5 per cent of their GDP on defence.

He also raged against the bloc’s trade surplus with the US, saying: “With the European Union, we have a trade deficit of US$350 billion. They don’t take our cars, they don’t take our farm products, they don’t take anything,” Trump said.

His billionaire ally Elon Musk, meanwhile, spent the week promoting populist and far-right groups in Germany and Britain and attacking incumbents.

This culminated in a long, rambling interview on Thursday with the co-chair of the Alternative for Germany party Alice Weidel that was closely monitored by EU regulators to ensure it complied with digital rules on election interference.

Amid the noise, EU dealings with China have fallen down the agenda. Negotiations on tariffs on Chinese-made electric vehicles have been parked, with “minimal technical contact”, sources said.