Europe Still Has Leverage Over China
This analysis argues that Europe's assumption of China's unstoppable rise and eventual liberalization is outdated. China faces mounting structural pressures: aging population, property crisis, weak consumption, and high debt. These vulnerabilities make Beijing more assertive and protectionist. However, Europe retains leverage through access to its single market, technological excellence, and industrial know-how. The article recommends a pragmatic, interest-driven China policy: build on European strengths, diversify supply chains, create credible escalation tools (e.g., Anti-Coercion Instrument), and tie dialogue to concrete demands like curbing export surges and dual-use goods to Russia. It warns that inaction risks eroding Europe's industrial base and confidence in democratic defense of interests.
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