China Warns EU Against 'Fantasising' on Trade as Brussels Confirms New 'Kill Switch'

Beijing has cautioned the European Union against what it characterised as wishful thinking in its trade posture, as Brussels confirmed a new mechanism dubbed a 'kill switch'. The exchange marks the latest flare-up between two of the world's three largest economies, signalling that the risk of a trade war has not receded. The 'kill switch' instrument, confirmed by the EU side, forms part of the bloc's evolving trade toolkit. China's warning was framed around the charge that the EU should not 'fantasise' about its approach to trade. The dispute indicates that de-escalation between the two major economic powers remains distant. Details of the mechanism's operation and the specific Chinese response were not elaborated in the source material.