On July 6, China announced new restrictions on purchases of medical devices from the European Union. Under the new rules, EU-made products exceeding 45 million yuan in value (approx. €5.3) will be excluded from Chinese government tenders. The restrictions also apply to non-EU products that contain more than 50% EU-manufactured components. However, European companies’ products that are manufactured within China are not affected.

This move comes in direct response to a decision by the European Union last month to exclude Chinese companies from participating in EU public tenders for medical equipment worth up to €60 billion annually. The EU justified its measure by citing the lack of fair market access for European companies in China. It marked the first use of the EU’s International Procurement Instrument, introduced in 2022 to promote reciprocal market openness.

According to China’s Ministry of Commerce, the EU is creating “protectionist barriers,” leaving China with “no choice” but to implement reciprocal measures. The growing trade tensions are not limited to medical devices: China recently imposed tariffs on EU-made cognac, while the EU had earlier introduced protective duties of up to 45% on Chinese electric vehicles.