The European Commission, led by President Ursula von der Leyen, has intensified pressure on China due to an alarming trade deficit, which amounts to approximately €1 billion daily. This situation has led to calls for the EU to fully utilize its trade defense instruments if negotiations do not yield results by October. The Commission highlighted that Chinese firms receive state subsidies up to eight times higher than their OECD counterparts, distorting competition. In Germany, the trade deficit increased by €22 billion, with imports rising by 8.8% while exports fell by 9.7%. The automotive supply sector is particularly affected, with potential job losses reaching 350,000 by 2030. In response, the EU has initiated new trade defense procedures and is considering tariffs and quotas on various sectors, including automotive and chemicals, to protect domestic industries from unfair competition.