EU to Oblige Corporations to Diversify Raw Material Supplies for Displacing China from Supply Chains

The European Union has prepared strict directives that will require European companies to purchase critical components from at least three independent suppliers from different countries.

According to The Financial Times, the draft will be presented to the European Commission as early as May 29. The main goal of the new restrictions is to forcibly exclude China from the supply chains of strategic raw materials.

Key sectors of European industry, including chemicals and industrial equipment manufacturing, are under attack from the EU bureaucrats. At the same time, the European Trade Commissioner is preparing to introduce protective tariffs against Beijing.

Experts believe that such a course of forced diversification will inevitably result in a sharp increase in costs for European manufacturers and a further loss of competitiveness in the global market.