EU Gains Trade Leverage Over U.S. as Dependence on Chinese Imports Declines

The European Union has surpassed China in both the value and variety of product groups critical to U.S. importers, according to a new study. Over 3,100 categories—ranging from industrial chemicals to advanced machinery—now rely on EU suppliers for at least half of American demand, up from 2,600 in 2010. This $287 billion trade web gives Brussels unexpected leverage, evidenced by the 15% baseline tariff rate negotiated in recent talks with Washington.

Meanwhile, U.S. dependence on Chinese goods continues to wane, with only 2,925 product groups totaling $247 billion linked to Beijing in 2024. The shift reflects corporate and governmental efforts to diversify supply chains away from single-source risks. Yet Europe's entrenched position in key sectors suggests certain imports will remain irreplaceable for American buyers.