A Brussels insider warns that Europe and China are entering a more volatile trade relationship, as China transitions from partner to competitor. Expect increased scrutiny on Chinese businesses in the EU.

The European Union and China are entering a new, more turbulent era in trade relations, as China has evolved from Europe’s favoured customer into a sophisticated competitor, a Brussels lobbyist has said. Chinese businesses are likely to face tougher scrutiny in the EU market as a result, with Brussels already taking steps to diversify its trade and mulling more robust measures to shield local industry from Chinese competition, according to Michael Koplovsky, a senior adviser at the strategic...