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EU bars Chinese firms from major state medical equipment contracts AFP Published June 20, 2025 Up

EU Restricts Chinese Medical Device Access in Government Contracts Amid Trade Tensions

Brussels, June 20, 2025 — The European Union has announced new restrictions on Chinese medical device manufacturers, barring them from participating in government procurement contracts exceeding €5 million ($5.8 million). The move comes in response to what the EU describes as longstanding barriers faced by European companies in China’s healthcare market.

This decision impacts a €150 billion medical device industry in the EU, covering a wide range of products such as surgical masks, diagnostic machines, and hospital-grade equipment.


Leveling the Playing Field

EU Trade Commissioner Maros Sefcovic said the measure aims to create fairer competition for European businesses.

The European Commission emphasized that the decision is a response to China’s restrictive procurement practices, which have allegedly excluded EU-made medical devices from nearly 90% of public tenders in the Chinese market.

In addition to the purchasing ban, the EU will also limit the use of Chinese components in successful bids for government contracts, capping it at 50% of the total input.

China Responds

In response, the Chinese government criticized the EU’s move, calling it a display of “double standards.”

Growing Trade Tensions

This decision marks another chapter in the escalating trade friction between the EU and China. Disputes have already surfaced in industries such as:

  • Electric vehicles

  • Rail transport

  • Solar panels

  • Wind energy

In April 2024, the EU launched an investigation into China’s public procurement practices for medical devices under a new mechanism designed to ensure reciprocal access to global markets. The probe found no significant progress after a year of discussions.


Strategic Policy Shift

The action is part of the EU’s broader effort to protect its economic interests. Over recent years, the bloc has adopted stronger trade policies to defend its industries from what it considers unfair international competition.

With global trade dynamics evolving — especially in light of renewed tariffs and trade measures by the United States — the EU’s decision underscores its commitment to safeguarding local innovation and industry competitiveness.

Looking Ahead

The European Commission stated that it remains open to renewed talks with Beijing, but stressed that equal treatment for EU firms must be ensured.

The new rules are expected to influence how public health systems across Europe source medical equipment and could encourage local and European manufacturing to meet procurement needs more competitively.

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