China Retaliates Against EU With Ban On European Medical Devices

China has announced that European medical device companies will be barred from participating in government procurement if the contract value exceeds 45 million yuan (about $6.28 million), Huizhong Wu reported for the Associated Press (AP).

The decision marks another escalation in the growing trade tensions between China and the EU, which now span electric vehicles (EVs), pork, dairy, and medical equipment. I Photo: Novartis

The restriction, issued in a Finance Ministry notice, took effect the same day. It exempts European companies that manufacture medical devices within China. The move comes in retaliation for recent European Union restrictions targeting Chinese products, particularly in the tech and healthcare sectors.

Just days earlier, China imposed anti-dumping duties on European brandy, most notably French cognac, though several major brands were granted exceptions.

The decision marks another escalation in the growing trade tensions between China and the EU, which now span electric vehicles (EVs), pork, dairy, and medical equipment.

The EU had previously barred Chinese companies from participating in government tenders exceeding 5 million euros ($5.89 million), a measure intended to pressure China into opening its procurement market.

EU officials said the move was aimed at countering “significant and recurring legal and administrative barriers” that disadvantage European firms in China.