Merz: EU Seeks Trade Balance With China, Not a Conflict

German Chancellor Friedrich Merz said the European Union will work to avoid a trade war with China while still protecting itself from a new dimension of overcapacity and an undervalued currency. "That is our goal, not a conflict, but to have a new balance in trade with China," he said. Merz made the remarks during an interview with Bloomberg's Stephanie Flanders at the Berlin Global Dialogue, where trade policy and Europe's economic posture toward Beijing were central themes. His comments signal a preference for rebalancing over confrontation as the EU weighs how to respond to competitive pressures. The interview offers insight into how Berlin is framing its approach to China at a time when trade tensions and currency questions are shaping the global economic agenda.