China has strongly condemned the Group of Seven (G7) nations and European Commission President Ursula von der Leyen for what it described as interference in its internal affairs and unfair criticism of its economic practices. The backlash follows a G7 statement issued after the summit in Alberta, where Canadian Prime Minister Mark Carney urged China to curb “market distortions and harmful overcapacity.”
Chinese Foreign Ministry spokesperson Guo Jiakun labeled the remarks “irresponsible” and “manipulative,” asserting that accusations of overcapacity were a pretext for trade protectionism. He also rejected claims that China’s rare earth dominance was being weaponized, calling such allegations a smear on China’s industrial policy.
Von der Leyen had warned of a new “China Shock,” accusing Beijing of flooding global markets with subsidized goods and leveraging its control over critical materials to undermine competitors. Her comments coincided with the EU’s decision to postpone an economic dialogue with China due to stalled trade progress.
Guo defended China’s subsidy policies as fair and transparent, and called for cooperation with the EU to foster a non-discriminatory business environment. Von der Leyen is expected to visit China for a summit next month.
