The European Union has issued a stark warning about its trade relationship with China, highlighting a daily trade deficit of €1 billion. EU Trade Commissioner Maros Sefcovic revealed that Chinese exports to Europe have surged by 50% over the past five years, while EU exports to China have decreased by 30%. This imbalance has raised concerns about deindustrialization in key sectors such as electric vehicles, batteries, and machinery. In response, the EU is considering implementing trade defense mechanisms, including tariffs and "Buy European" measures, to address the deficit. These discussions will be a focal point at the upcoming European Council meeting in June 2026. The EU has already imposed tariffs on Chinese electric vehicles, and further measures could impact multiple sectors. European leaders, including Ursula von der Leyen and Emmanuel Macron, have expressed growing concerns over the trade imbalance, signaling potential shifts in trade policy.