Bold warning: the global balance of trade is shifting fast, and this visit sits squarely at the center of that disruption. French President Emmanuel Macron met Chinese President Xi Jinping in Beijing on Thursday, aiming to deepen commercial ties as the European Union readies stricter trade rules. A large business delegation joined Macron on his fourth state visit to the world’s second-largest economy, signaling that business and diplomacy are converging to navigate a more contentious global market.
Macron is also set to travel to Chengdu in Sichuan province on Friday, with Xi accompanying him. The itinerary reflects Beijing’s high-profile, invitation-only approach to engaging major partners, though Xi is not anticipated to approve a long-awaited Airbus order or grant Paris relief from EU-brandy tariffs, which currently have most shipments from France facing duty costs.
Beijing’s goal is to reduce frictions with Brussels over China’s heavily subsidized electric vehicle sector, which has drawn retaliatory tariffs on certain European goods. Yet China weighs its leverage carefully: pushing for a 500-aircraft Airbus order could compromise its bargaining position with Washington, which is pushing for a Boeing deal, while Europe is preparing new economic security measures. This calculus sits alongside Europe’s broader push for greater economic resilience and security in trade.
Macron has historically tried to present a united European front with China while avoiding direct antagonism, recognizing China as a crucial export market for many French firms. During this visit, top executives from Airbus, BNP Paribas, Schneider Electric, and Alstom—alongside leaders from France’s dairy and poultry sectors—are expected to join Macron in signing a series of accords with Xi.
China remains France’s seventh-largest trading partner, with annual goods trade around $35 billion. Cosmetics account for roughly 10% of that flow, alongside significant exports of aircraft parts and spirits. In return, France imports about $45 billion in Chinese products, dominated by low-value parcels shipped via online platforms like Shein, facilitated by an EU customs waiver on purchases under 150 euros.
Overall, the encounter underscores a continuing tug-of-war: Europe seeks tougher protections and fairer access, while China seeks to safeguard its own growth model and strategic interests. As these dynamics evolve, the question remains: how will each side balance competition with cooperation in this new trade era? And as policies shift, what will this mean for everyday consumers and businesses across both regions?
