Weekly Highlights (September 26–October 2)

【Answer 1】 Is the EU’s version of ‘Section 301’ looming large? Internal EU divisions have already emerged. A political spectacle that ‘one would not wish upon oneself’ On September 29, 2026, the Ministry of Commerce spokesperson issued a stern response regarding efforts by certain EU member states to advance an EU version of the ‘Section 301’ tool. The spokesperson explicitly stated that this instrument constitutes a ‘typical protectionist and unilateral measure’—not only failing to resolve issues but also backfiring on the EU itself, while further destabilizing China-EU trade and global production and supply chains. The spokesperson specifically reminded the EU that it had itself been a victim of U.S. Section 301 measures: ‘Do not impose on others what you do not wish for yourself.’ This statement comes against the backdrop of a joint document submitted by France, Italy, Spain, the Netherlands, and Lithuania, urging the European Commission to accelerate development of a tool modeled on the U.S. Trade Act of 1974’s Section 301—granting Brussels unilateral authority to impose tariffs on Chinese goods and restrict market access, targeting so-called Chinese ‘overcapacity’ and ‘unfair competition.’ Yet this seemingly formidable ‘EU Section 301’ offensive has already fractured deeply among EU member states—even before leaving the conference rooms of Brussels. France charges ahead; Spain defects; Germany stays silent France is the vanguard of this push. President Macron has not only openly advocated emulating the U.S. ‘Section 301’ clause but has also repeatedly labeled China a ‘growing competitor’ in multiple forums. The motivations behind France’s leading role extend far beyond mere industrial anxiety.

Chinese automakers continue strong growth in the EU; Spanish government to facilitate Chinese corporate investment | Weekly Cross-Border Highlights

【Answer 2】 I. Chinese automakers continue strong growth in the EU Recently, data released by the European Automobile Manufacturers’ Association (ACEA) shows that, despite ongoing geopolitical uncertainty and rising energy prices, new vehicle registrations in the EU rose by 5.3% in the first eight months of 2026. Over 1.6 million new battery electric vehicles (BEVs) were sold in the EU during the same period—a 45% year-on-year increase. BEVs’ share of total new vehicle sales in the EU climbed to 21.7%, up from 15.8% a year earlier. Chinese brands—including BYD, Chery, Geely, and Leapmotor—were the primary drivers of this growth. Meanwhile, sales growth for major European brands such as Volkswagen, Peugeot, and Renault remained limited, with some even registering declines. II. Spanish government to facilitate Chinese corporate investment According to sources cited recently by the Spanish newspaper El Español, with U.S. and U.K. investment stagnating, the Spanish government plans to facilitate investment by Chinese enterprises. This move reflects Spain’s economic pivot toward strengthening ties with its largest trading partner—China. China has overtaken Germany to become Spain’s top source of imports, a key factor prompting Spain to ‘open its doors’ to China. China’s rise as Spain’s largest import origin is especially evident in the automotive sector. Beyond trade, Spain is also accelerating cooperation with China in scientific research and higher education. III. Norway advances Europe’s largest rare-earth mining project The Norwegian government recently announced that it aims to finalize the development plan for a mining facility at the Fen Complex—the site of Europe’s largest known rare-earth deposit—by no later than 2028. Located approximately 150 kilometers southwest of Oslo, the Fen Complex is estimated to hold 15.9 million tons of rare-earth oxides, including neodymium and praseodymium, which are critical for manufacturing high-strength magnets used in electric vehicles, renewable energy equipment, and defense systems. However, environmental concerns have delayed progress on the project—primarily because the original development plan proposed siting the mineral processing facility within a forested area. IV. Peru streamlines approval requirements to revive long-stalled copper mining projects

Europe Top Stories: Weekly Summary

Oct 19, 2026

ICIS Europe reports on key chemical industry updates, including Tarragona mayors demanding risk strategy overhauls and Covestro reducing polycarbonate capacity. Global chemical prices rose 7.87% in September amid higher crude costs and supply tensions.

icis

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Covestro CFO to Step Down in 2026

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Covestro completes TDI debottlenecking in China

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Covestro Inaugurates New TPU Base in South China, Highlights Sustainability Strategy