The European Union and China will hold talks this week to address trade disputes as Beijing’s restrictions on exports of key minerals and chips risk disrupting Europe’s auto industry, reports Bloomberg. The European Commission will receive a Chinese delegation to discuss rare earth restrictions, which sounded alarm bells among governments and firms across the bloc. Preliminary talks were held on Monday to prepare for the arrival of a high-level Chinese technical delegation on Thursday, said Olof Gill, a spokesman for the EU’s executive arm.
China announced plans to significantly tighten controls on its exports of rare earths and other critical materials earlier this month. Under the measures, overseas exporters of items that use even traces of certain minerals sourced from China would need an export license.
In a separate dispute, Beijing is blocking Nexperia from exporting products from its affiliate in China. The move was retaliation after the Dutch government took control over the Nijmegen-based company because of concerns that China’s Wingtech Technology Co.—Nexperia’s owner—was seeking to hobble the chipmaker.