EU Pressures CCP to Lift Rare Earths Ban and Halt Aid to Russian Military

The upcoming Central and Eastern European Leaders’ Summit is set to take place at the end of July. During a meeting with Chinese Foreign Minister Wang Yi in Brussels on Wednesday, EU High Representative for Foreign Affairs and Security Policy Kaja Kallas sternly demanded that China lift its restrictions on rare earth exports. She also warned against sensitive transactions between Chinese companies and Russia, which not only undermines sanctions against Russia but also highlights China’s failure in international responsibilities.

Kallas presented two core demands to Wang Yi: first, to lift the restrictions on rare earth exports to prevent further disruptions to European industries and global supply chains; second, to urge Chinese companies to stop providing key components for military systems (such as drones) to Russia in order to facilitate peaceful negotiations in Ukraine.

The statement pointed out that there are still unresolved disagreements between the two sides on economic, trade, and security issues, emphasizing the need for China to fulfill its international responsibilities.

In terms of trade, Kallas called on China to stop policies that disrupt fair market competition, especially regarding rare earth export restrictions. She also requested that China present specific proposals to restructure bilateral economic relations, establish a fair competitive environment, and ensure that European companies in the Chinese market have the same opportunities as Chinese companies in the European market.

Kallas also emphasized that Chinese companies supporting Russia’s illegal war pose a serious threat to European security. She warned that China must “immediately cease any substantive assistance to Russia’s military-industrial complex” and support a “comprehensive and unconditional ceasefire” to help Ukraine achieve a fair and lasting peace.

During the meeting, Chinese officials denied providing military assistance to Russia, but European officials pointed out that Chinese companies have actually supplied key components for weapons such as drones used by the Russian military in Ukraine.

The EU had previously refused to hold high-level trade dialogues with China and canceled a scheduled meeting in June due to China’s lack of substantial concessions on issues such as rare earth export restrictions, tariffs, and market access. Despite lower expectations for the summit, the EU still hopes to encourage China to show more sincerity and improve bilateral relations, although there remains skepticism within the EU regarding China’s foreign policy attitude.

However, China’s lack of specific cooperation intentions ahead of the summit further dampened the EU’s expectations. There have been rumors that EU officials hope to pressure China to use its influence as Iran’s main oil buyer to urge Iran to reach an agreement on its nuclear program and reduce tensions in the Middle East.

The EU did not disclose whether the related measures to promote these objectives had the desired effect. However, the statement noted that Kallas and Wang Yi “agree that the Treaty on the Non-Proliferation of Nuclear Weapons is the fundamental basis of the global nuclear non-proliferation regime.”

European Council President Antonio Costa and European Commission President Ursula von der Leyen are scheduled to hold a leaders’ summit with Xi Jinping and Li Keqiang on July 24-25.