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Core Viewpoint - The EU's strategy to leverage its relationship with the US by sacrificing Chinese interests has backfired, leading to an embarrassing situation as the US unexpectedly resumed trade negotiations with China, undermining the EU's efforts [1][4][10] Group 1: EU's Economic Strategy - The EU submitted a memorandum to the US, attempting to gain concessions on steel and aluminum tariffs by emphasizing a "common competitor" in China [1] - Since the beginning of the year, EU investments in the US have surged by over €150 billion, and the share of US liquefied natural gas imports in the EU has increased from 45% to 60% [1] - The EU's reliance on digital regulations as a key asset is threatened by US demands to reconsider its digital market laws, which could undermine the EU's regulatory authority [3][6] Group 2: US Response and Implications - The US showed little interest in the EU's overtures and instead focused on requiring the EU to align its digital regulations with US interests, suggesting that a balanced regulatory framework could attract up to $1 trillion in investment [3] - The US's quick shift to a friendlier stance towards China after the EU's negotiations indicates a strategic move to counter the EU's attempts to leverage China against the US [4][8] - The US's insistence on digital regulations highlights its concern over the EU's policies that threaten the dominance of American tech giants [6] Group 3: Geopolitical Miscalculations - The EU's attempt to use China as a bargaining chip reflects a significant misreading of the geopolitical landscape, as the world moves towards a multipolar order [6][10] - The EU's strategy risks alienating China, which is a crucial trade partner, and could lead to long-term economic disadvantages for European companies [4][7] - The EU's contradictory approach of trying to suppress China economically while seeking defense cooperation illustrates a lack of coherent strategy [7] Group 4: International Reactions - ASEAN countries have expressed their intention not to follow unilateral sanctions or trade restrictions, emphasizing the importance of maintaining normal trade relations with China [8] - The African Union has openly opposed trade protectionism, reinforcing the idea that the EU's actions diverge from global expectations for cooperation and mutual benefit [8] - The EU's approach has been criticized as short-sighted, risking its strategic autonomy in favor of immediate gains [10]