European Union Chief Ursula von der Leyen on Tuesday outlined the need to reconsider the EU’s relationship with China. She also highlighted the growing imbalances and risks in the country’s economic ties. As both mark 50 years of diplomatic relations, Leyen acknowledged China’s role as a trading partner. However, she noted, “there is room to engage constructively with China and find solutions in our mutual interest.”

While delivering a speech at the EU Ambassadors Conference 2025, Von Der Leyen said, “This global engagement is more important than ever in today’s world. So we need to be ready to work with all major players. This will be an intense year in our relationship with China, as we mark half a century of diplomatic relations. You have heard me say many times that our relationship with China is one of the most intricate and important anywhere in the world. And how we manage it will be a determining factor for our future economic prosperity and national security.”

She added, “China is a vital trading partner – accounting for around 9 percent of our goods exports and more than 20 percent of our goods imports. And most of that trade is mutually beneficial. But we have seen growing imbalances and risks that come with doing business with China. We need to rebalance this relationship and ensure that our trade and investment relations make sense for Europe, both for its economy and its security.”

The EU Chief further said, “So we will keep de-risking our economic relationship – as we have been doing in recent years. But there is also room to engage constructively with China – and find solutions in our mutual interest. And I think we can find agreements that could even expand our trade and investment ties. It is a fine line that we need to walk. But it can lead us to a fairer and more balanced relationship with one of the world’s economic giants. And that can make sense for Europe.”

Meanwhile, von der Leyen also spoke about the ongoing war in Ukraine and said that Russian President Vladimir Putin’s goal is “capitulation” of Ukraine. “The war in Ukraine remains the most central and consequential crisis for Europe’s future. Russia’s full-scale war will soon enter its fourth year. Putin is trying harder than ever to win this war on the ground. His goal remains Ukraine’s capitulation. And then we know what could happen next. Because it has already happened before. He would move on to the next target – just like he did after 2008 and 2014. It is not only the destiny of Ukraine that is at stake. It is Europe’s destiny,” von der Leyen said. 

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