The EU aims to introduce temporary restrictions on hybrid-car imports in early December. Plastics could be next, Trade Commissioner Maroš Šefčovič said on Friday. Ministers meeting in Dublin backed further talks with China and faster action to protect European industry.

“There are 27 shades of grey,” Slovenian Economy Minister Anže Logar said before the meeting, describing countries’ different economic relationships with China. Afterwards, Irish Foreign Affairs and Trade Minister Helen McEntee stressed their common position: “All member states are absolutely determined to support the Commission in this positive dialogue.” The discussion concerned how to turn that support into results.

Hybrid cars first, plastics potentially next

Mr Šefčovič said the EU’s goods trade deficit with China had reached almost €197 billion in the first half of the year. Recent negotiations in Beijing had produced progress on hybrid vehicles, but ministers wanted further sectors addressed. The Commission would use its import-monitoring system to identify sustained increases damaging European industry. Ms McEntee said chemicals, machinery and agri-food had featured in the discussion.

Work on the hybrid-car safeguard was already under way, with provisional application targeted for early December. On possible further action, Mr Šefčovič identified plastics as the sector closest to the start of a process, while stressing that preparatory work remained unfinished. We just want to be sure that we have a very solid case,” he said, stressing both economic and legal grounds. He did not announce a new investigation into plastics.

The Commission is also preparing its Diversify EU package for December and examining an additional instrument allowing a faster response to unfair trade measures. Poland’s Deputy Development and Technology Minister Michał Baranowski supported stronger powers that would be difficult to block through divisions among governments. “Credibility comes from ease of use and speed,” he said. However, Mr Šefčovič did not settle whether the response would involve a new instrument or changes to existing rules.

All member states are absolutely determined to support the Commission in this positive dialogue.
— Helen McEntee, Irish Foreign Affairs and Trade Minister

Other governments emphasised the consequences for companies relying on Chinese supplies. Ms McEntee warned that alternatives must be available before supply chains change: Europe should be “supporting and not hindering our own industries”. Greece’s Deputy Foreign Minister Theoharis Theoharis backed keeping defensive options available, while insisting negotiations must deliver. “Dialogue for the sake of dialogue is meaningless,” he said. Mr Šefčovič confirmed that his team would meet Chinese counterparts next month, ahead of further high-level exchanges.

Stability with Washington, closer ties with Canada

The approach to Washington was more focused on preserving predictability. Mr Šefčovič said the Turnberry agreement had largely stabilised trade, although metals and products containing them remained unresolved. David Müller, the Czech industry ministry’s director general for EU and foreign trade affairs, acknowledged that the arrangement was not fully balanced. “That’s the price we pay for stability,” he said.

France pressed for further tariff exemptions, particularly for wine and spirits. French Trade Minister Nicolas Forissier suggested Irish whiskey had already secured relief, but the press conference did not confirm that claim. Mr Šefčovič said the Commission had not yet achieved its objective of exempting wines and spirits. Ms McEntee likewise said she hoped an agreement could be reached soon and stressed that Ireland sought relief across the sector.

Canada offered a different prospect: deeper cooperation with a trusted partner. Austrian Economy Minister Wolfgang Hattmannsdorfer proposed extending cooperation beyond tariffs to product standards and worker mobility. “The European single market should not stop at the continental border of Europe,” he said. Ms McEntee supported exploring closer integration but said its terms still needed work. No agreement granting Canada additional single-market access was announced.

Next week’s EU-Canada summit in Montreal will discuss digital trade and remaining trade barriers. The Commission aims to apply temporary hybrid-car safeguards in early December. It also plans proposals to diversify supplies and respond faster to unfair trade.