European manufacturers may have to join Chinese supply chains to survive, warns the head of the EU Chamber of Commerce in China.
Jens Eskelund, who also leads Maersk's China operations, warned that European manufacturers could give up competing with China by 2030, risking mass job losses and a shrinking tax base. He pointed to the EU's record trade deficit with China, arguing that trade may be destroying value for Europe.
Instead of trying to outcompete China, Eskelund suggests European firms integrate into Chinese supply chains, adopting a 'Made in China for the world' approach that allows them to compete globally. He argues that joining these networks could be the only way for European companies to remain viable.