Tougher European policy on China could target sectors without addressing underlying economic distortions

A commentator argues that Trump has prematurely declared victory over China's surplus and says Europe now has to supply the pressure for a policy shift. He expects tougher European policy to produce significant sectoral measures, but none that directly target underlying macroeconomic distortions for now. Reuters reports that Germany's BDI called for more consistent efforts to reduce China-linked risks by diversifying supply chains and forging new partnerships, while avoiding broad protectionism.