The EU is preparing a mechanism to completely close its market to Chinese goods

 The European Union (EU) is preparing new trade tools that, in extreme situations, would allow it to completely block the entry of Chinese products into the single market, with the goal of reducing the trade deficit with China, according to Bloomberg, citing individuals familiar with the matter.

According to these sources, EU leaders meeting in Brussels this Thursday have asked the European Commission (EC) to present a proposal on the subject before the end of this year.

 It is noted that this tool would only be activated in an exceptional scenario, specifically, when a trade rival such as China is deemed an "economic aggressor."

 In this context, Lithuanian President Gitanas Nauseda stated: "If China engages in certain unfair trade practices, we could restrict the entry of Chinese products into the European market—up to and including a complete closure of our market." "That would be an extreme measure, a drastic instrument," the leader declared.

Sources add that this tool would serve as a form of "second-strike" measure, and that its very existence is intended to deter rivals from implementing unfair policies against European companies or initiating a trade war involving retaliatory actions against the EU.