FX.co ★ China Hits EU Medical Devices in Retaliation

China’s Ministry of Finance announced on Sunday that it will impose restrictions on government purchases of medical devices from the European Union with a value exceeding 45 million yuan. This decision comes in the wake of the EU's initiative in June, which prohibited Chinese companies from participating in public tenders for medical devices valued at 60 billion euros annually. The EU's move was based on claims of limited access for EU companies in the Chinese market, marking the first implementation of the International Procurement Instrument by the EU. In response, China also plans to limit imports of medical devices from other countries if these devices have components made in the EU that account for more than 50% of their total value. These measures are effective immediately. China's Ministry of Commerce has expressed disappointment, stating, "Regrettably, despite China's goodwill and sincerity, the EU has chosen to pursue its own path," and accusing the EU of erecting protectionist barriers. However, the ministry noted that this policy will not impact products manufactured by EU companies operating within China.