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EU-China goods trade gap widens to €36.5 billion in July

EU-China goods trade gap widens to €36.5 billion in July
Photo: theguardian.com

MERICS analysis of Chinese customs data shows the EU's goods trade deficit with China widened to €36.5 billion in July.

Why it matters: The widening goods gap could push Brussels toward tougher trade measures, including more scrutiny of imports and industrial policy responses. It also shapes the agenda for an October EU-China meeting as officials weigh how to respond to dependence in sectors tied to manufacturing and supply chains.

  • The EU's goods trade deficit with China reached €36.5 billion in July, according to MERICS analysis cited by The Guardian.
  • The European Commission said the EU is engaged in dialogue with China on trade rebalancing and will use trade tools if necessary.
  • Ursula von der Leyen said in her Sept. 16 State of the Union address that the deficit has reached about €1 billion a day and a tipping point.
  • Eurostat said the EU's goods trade deficit with China in Q2 2026 was €103 billion, the highest since Q3 2022.

MERICS analysis of Chinese customs data, cited by The Guardian, shows the EU's goods trade deficit with China widened to €36.5 billion in July. That puts the monthly imbalance at roughly €1.18 billion a day.

The European Commission says on its trade relations page that it is engaging China on rebalancing trade and can use trade tools if needed. The issue has become more politically sensitive as Brussels weighs how to respond to import dependence in key industrial sectors.

In her Sept. 16 State of the Union address, Ursula von der Leyen said the EU's trade deficit with China has reached about €1 billion a day and is at a tipping point.

Eurostat separately said the EU's goods trade deficit with China in Q2 2026 was €103 billion, the highest since Q3 2022.

The Guardian reported that an EU-China meeting is planned for October, with the EU trade commissioner scheduled to travel to Beijing on Oct. 8.

By the numbers

  • €36.5 billion - EU goods trade deficit with China in July, according to MERICS analysis cited by The Guardian
  • €1.18 billion - Approximate daily value of that July deficit
  • €103 billion - EU goods trade deficit with China in Q2 2026, according to Eurostat

Yes, but: The July figure comes from MERICS analysis of Chinese customs data and is reported through The Guardian, while the Commission and Eurostat figures use different frames and time periods.

What's next: The EU-China meeting is due in October, and the EU trade commissioner is scheduled to travel to Beijing on Oct. 8.

Based on reporting from

  • The Guardian

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