EU manufacturing warns of 300,000 job losses by 2026 as China tightens supply chain grip: Brussels protest

EU manufacturing faces the loss of 300,000 jobs by the end of 2026 due to intensifying competition from Chinese component suppliers, industry association Eurometal warned on Sunday. The bloc’s trade deficit with China has reached a record €1 billion per day, accelerating job cuts across the sector, according to Eurometal President Alexander Julius .
In response, Eurometal staged a protest in Brussels on Monday, carrying 10 symbolic coffins marked with phrases like “EU competitiveness,” “industrial jobs,” and “European factories” around the European Commission headquarters. Julius told the Guardian that China’s strategy, outlined in its five-year plan, aims to dominate key supply chains by controlling component production, not just raw materials. “Once they control the supply chain, they own the complete value chain,” he said .
European manufacturers argue that high carbon-emissions taxes and tariffs on steel imports—absent for Chinese components—make fair competition impossible, compounded by an undervalued yuan. The EU has already imposed tariffs on Chinese electric vehicles and foreign steel, while Trade Commissioner Maroš Šefčovič called the €360 billion annual trade imbalance “not sustainable.” Talks between the EU and China are underway to avert a trade war, with negotiations set to conclude in October .
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