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EU trapped in U.S.–China trade war? How Beijing’s rare earths strangle Europe’s economy | Xi Jinping

Published on Nov 01, 2025 07:47 am IST

Europe is now caught in the crossfire of the U.S.–China trade war — and paying the price. As Beijing tightens control over rare earth exports and advanced chip supplies, the EU’s dependency has been laid bare. Without Chinese components, Europe’s factories, carmakers, and tech giants could grind to a halt. Washington’s pressure to decouple adds new strain, leaving Brussels cornered between two superpowers. The trade clash has become more than economic — it’s a battle for global dominance, and Europe may be the biggest casualty.

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