France and Germany push for new EU trade defence tool

Proposed legal mechanism details

The leaders wrote to Commission President Ursula von der Leyen requesting a credible instrument for decisive action. This tool would allow the EU to cut off access to the single market if necessary. A German government source stated the measure must inflict damage comparable to actions taken against Europe.

Timing of the proposal

The letter was sent just days before EU trade commissioner visits Beijing to address frictions. Officials did not explicitly name China as the target in their public statement. The announcement comes while negotiators prepare for upcoming talks between European and Chinese representatives.

Context of global tensions

Merz and Macron described the current trade system as affected by weaponisation and market-distorting practices. They warned that the United States and China could retaliate faster in any trade conflict. The two largest EU economies are urging urgent action to counter these systemic issues.