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Core Insight:
Recent China-EU summits reveal a fundamental disconnect: China operates under the strategic assumption that Europe lacks cohesive geopolitical influence, enabling Beijing to exploit divisions and impose asymmetric agreements.
The recent high-level meeting between Chinese and European leaders produced stark outcomes:
This approach stems from Beijing's perception that Europe functions as a fragmented entity rather than a unified power. As analyst David Bavrez observes: "For Chinese strategists, Europe doesn't exist as a coherent geopolitical actor."
Since the 2008 financial crisis, Beijing has systematically exploited intra-European divisions:
Tactics | Recent Examples | Strategic Goal |
---|---|---|
Targeting weak links | Expanded economic footholds in Hungary and Spain | Bypass unified EU trade policies |
Asymmetric negotiations | No reciprocity for European market access | Maintain protected domestic markets |
This contrasts sharply with Europe's approach to US negotiations, where tariff disputes remain renegotiable. With China, agreements lock in structural disadvantages.
China's current strategy represents a fundamental shift beyond manufacturing dominance:
China now originates 30% of new pharmaceutical molecules and leads in integrated hardware-software systems like autonomous vehicles.
Productivity gains are redirected into manufacturing glut, enabling price wars that create global dependency.
US dollar devaluation pressures combined with China's currency controls threaten to leave the euro dangerously overvalued.
High debt levels across most EU nations have eroded economic sovereignty. Germany's €1 trillion reserves position it as Europe's potential counterweight, but its own dependencies create vulnerabilities:
As Bavrez notes: "Germany may regain sovereignty within five years through strategic repositioning. France and others lack this pathway."
Despite external assertiveness, China faces internal challenges:
However, political control remains firm. Recent moves toward more collective decision-making in the Standing Committee suggest institutional adaptation rather than leadership change.
Europe faces a critical juncture: either develop coherent collective sovereignty or become permanently marginalized in China-centric global supply chains. The "invisible continent" perception will persist until Europe demonstrates strategic unity and economic independence.