The renewed U.S.–China trade war is no longer a bilateral issue — it's a global disruptor, and Europe is now directly in the crossfire. Chinese manufacturers, facing mounting U.S. restrictions, are flooding European markets with cheap goods, from electric vehicles to industrial tech. Meanwhile, the EU’s reliance on Elon Musk’s satellite networks highlights how geopolitical fragmentation has exposed strategic weaknesses in Europe’s digital infrastructure. Calls for a sovereign tech policy and economic autonomy are growing louder in Brussels.

Trump’s tariffs have already created bottlenecks in U.S. logistics and driven up costs for American firms. To counteract, China is redirecting exports toward Europe, intensifying pressure on EU markets and port infrastructure. At the same time, Europe's inability to rapidly diversify away from dominant tech providers — both American and Chinese — is sparking renewed calls for stronger industrial policy and digital sovereignty.

Expect the EU to intensify its push for digital independence, potentially launching new investment funds for satellite infrastructure, AI, and green tech. Meanwhile, trade tensions could trigger retaliatory tariffs or stricter import controls. Europe's ability to coordinate a coherent internal and external strategy will define whether it emerges stronger or further fragmented.