EU bars Chinese firms from most medical device tenders
BRUSSELS, June 20 (Reuters) - The European Union will bar Chinese companies from participating in EU public tenders for medical devices worth 60 billion euros or more ($68.9 billion) per year after concluding that EU companies are not given fair access in China.
The measure announced by the European Commission on Friday is the first under the EU's International Procurement Instrument, which entered into force in 2022 and is designed to ensure reciprocal market access.
The new restrictions are likely to increase tensions with Beijing inflamed by EU tariffs on China-built electric vehicles, Chinese measures against EU brandy and curbs on exports of rare earths that the EU wants resolved by an EU-China summit in July.
The Commission said on Friday that it would exclude Chinese companies from EU government purchases above five million euros.
An EU official said, guided by figures of Medtech Europe, the EU medical technology market was worth some 150 billion euros in 2023, with public procurement accounting for a 70% share. Contracts of over 5 million euros were only 4% of tenders, but made up some 60% by value, the official said.
Successful bids will have to ensure they include no more than 50% of medical devices from China. If there are no alternative suppliers, the exclusion will not apply.
EU members backed the plan earlier this month.
The Commission has previously said it found "clear evidence" that China favoured Chinese devices for hospitals and its tender conditions led to abnormally low bids that profit-oriented companies could not offer.
A Commission official said the ban would cover medical equipment including imaging equipment, artificial body parts and medical clothing.
China's commerce ministry has previously described the proposed EU measures as "protectionist", urging the EU to be fair and transparent and for both sides to resolve differences through cooperation and dialogue.
The Commission said China had not proposed any corrective action to remedy the situation, but an agreement was still possible.
($1 = 0.8708 euros)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Western Telegraph
8 minutes ago
- Western Telegraph
UK readies charter flights out of Tel Aviv as Middle East crisis spirals
Downing Street urged Britons in the region to register their presence with the Foreign Office as the crisis deepens and Prime Minister Sir Keir Starmer called on all sides to reach a diplomatic outcome. Number 10 on Friday morning said that the situation remains 'fast-moving' and would continue to be monitored closely. The situation in the Middle East remains perilous. We are determined that Iran must never have a nuclear weapon. Meeting with @SecRubio and @SteveWitkoff in the White House today, we discussed how a deal could avoid a deepening conflict. A window now exists within the next two… — David Lammy (@DavidLammy) June 19, 2025 A spokesman added: 'We are advising British nationals to continue to register their presence in Israel and the Occupied Palestinian Territories, to be contactable with further guidance on these flights. 'The Foreign Secretary will shortly announce that the Government is working with the Israeli authorities to provide charter flights from Tel Aviv airport once airspace reopens.' Sir Keir has also urged Donald Trump to step back from military action against Iran, which could deepen the crisis in the Middle East. The Prime Minister said there is a 'real risk of escalation' in the conflict as he urged all sides to seek a diplomatic outcome. He said there had previously been 'several rounds of discussions with the US' and 'that, to me, is the way to resolve this issue'. Iran and Israel continued striking each other's territory overnight as the crisis deepens. A hospital in southern Israel was hit by a missile, while a heavy water facility in Iran was targeted in the latest blow against Tehran's nuclear programme. The hospital attack led defence minister Israel Katz to say Iran's supreme leader Ayatollah Ali Khamenei 'absolutely should not continue to exist' – in a sign that plans to kill him could be revived after previously being vetoed by Mr Trump. His comments came as Foreign Secretary David Lammy arrived in Geneva for talks with the Iranian foreign minister and European allies as the UK presses for a diplomatic solution to the conflict. The Foreign Secretary is meeting Abbas Araghchi on Friday alongside his counterparts from France, Germany and the EU as he seeks to negotiate a settlement before Mr Trump decides on whether to take military action against Tehran. In a statement read by his press secretary on Thursday, Mr Trump said there was still 'a substantial chance of negotiations' and said he would make a decision on deploying US forces 'within the next two weeks'. Mr Trump had previously said he 'may' join Israeli strikes against Iran and its nuclear programme, but added: 'I may not do it. I mean, nobody knows what I'm going to do.' Friday's meeting with the so-called E3 countries follows Mr Lammy's visit to Washington, where he met US secretary of state Marco Rubio in the White House on Thursday evening to discuss 'how a deal could avoid a deepening conflict'.
The Independent
10 minutes ago
- The Independent
Tax hike fears mount after government borrowing jumps in May
Fears the Chancellor will raise taxes in the autumn have been fuelled after official figures showed the highest May government borrowing outside the pandemic despite a tax boost from the national insurance hike. The Office for National Statistics (ONS) said borrowing surged to £17.7 billion last month, the second highest figure on record for May, surpassed only at the height of Covid. May borrowing was £700 million higher than a year earlier, though it was slightly less than the £18 billion most economists had been expecting. The higher borrowing came in spite of a surge in the tax take from national insurance after Chancellor Rachel Reeves increased employer contributions in April. The decision, which was announced in last autumn's budget, has seen wage costs soar for firms across the UK as they also faced a minimum wage rise in the same month. Experts warned the higher borrowing figures raised the chances of tax hikes to come in the budget later this year, with Ms Reeves under pressure to balance the books amid rising borrowing and her spending commitments. Thomas Pugh, economist at audit and consulting firm RSM UK, said he is pencilling in tax increases of between £10 billion and £20 billion. He said: 'The under-performance of the economy and higher borrowing costs mean the Chancellor may already have lost the £9.9 billion of fiscal headroom that she clawed back in March. 'Throw in the tough outlook for many Government departments announced in the spending review and U-turns on welfare spending and the Chancellor will probably have to announce some top-up tax increases after the summer.' Danni Hewson, AJ Bell head of financial analysis, said the borrowing figures 'will only add to speculation that the Chancellor will have to announce more spending cuts or further tax increases at the next budget if she wants to meet her fiscal rules and pay for her spending plans'. 'One big shock could wipe out any headroom Rachel Reeves might have, and there are still question marks about how much of GDP (gross domestic product) should be spent on defence and where the money is going to come from,' she added. Borrowing for the first two months of the financial year to date was £37.7 billion, £1.6 billion more than the same two-month period in 2024, according to the ONS. The data showed so-called compulsory social contributions, largely made up of national insurance contributions (NICs), jumped by £3.9 billion or 14.7% to a record £30.2 billion in April and May combined. Rob Doody, deputy director for public sector finances, said: 'While receipts were up, thanks partly to higher income tax revenue and national insurance contributions, spending was up more, affected by increased running costs and inflation-linked uplifts to many benefits.' While May's borrowing out-turn was lower than economists were expecting, it was more than the £17.1 billion pencilled in by the UK's independent fiscal watchdog, the Office for Budget Responsibility (OBR), in March. The figures showed that central government tax receipts in May increased by £3.5 billion to £61.7 billion, while higher NICs saw social contributions rise by £1.8 billion to £15.1 billion last month alone. Public sector net debt, excluding public sector banks, stood at £2.87 trillion at the end of May and was estimated at 96.4% of GDP, which was 0.5 percentage points higher than a year earlier and remains at levels last seen in the early 1960s. The ONS said the sale of the final tranche of taxpayer shares in NatWest, formerly Royal Bank of Scotland, cut net debt by £800 million last month, but did not have an impact on borrowing in the month. Interest payments on debt, which are linked to inflation, fell £700 million to £7.6 million due to previous falls in the Retail Prices Index (RPI). But recent rises in RPI are expected to see debt interest payments race higher in June. Chief Secretary to the Treasury Darren Jones insisted the Government had 'stabilised the economy and the public finances'. 'Since taking office, we have taken the right decisions to protect working people, begin repairing the NHS, and fix the foundations to rebuild Britain,' he said.
The Sun
26 minutes ago
- The Sun
Shoppers rush to buy bladeless tower fan slashed from £50 to £6 in time for the heatwave
The temperature is soaring this weekend - and if you're trying to beat the heat on a budget, head to the GoGroopie website. Shoppers are flocking to the savings website to pick up a bladeless tower fan that's been reduced from £49.99 to £5.99 in a cool little deal. All across the UK, we've been hit way a wave of scorching summer weather in the past few day. With temperatures rising to 33 degrees this weekend, lots of Brits will be out in the sunshine - or if they're indoors, doing their best to stay cool. If you're working indoors and struggling with the heatwave, don't let this cool little deal pass you by. This no-fuss, hugely affordable appliance, which has been reduced by 88% in a limited-time promotion, is the perfect budget-friendly antidote. Measuring just 33cm in height and 10.5cm in width, this slim, compact piece of tech will sit perfectly on a table, desk or countertop. It's got two settings - high or low - and in a crucial touch, can be set to either oscillate or remain stationary. So whether you want to keep your space or just yourself cool, it's ideal for either scenario. This mini-size tower fans powers via USB, so can either be plugged into the mains with a power adaptor, or set up beside a laptop if you're working remotely, and comes with a one-metre cable. It's available in two different colours: black or white. GoGroopie's sky-high discounts are claimed via a redemption process: you'll need to purchase the item, then you'll receive a voucher code. Once you've redeemed it, the item will be shipped to you, via free delivery. This isn't the only fan GoGroopie currently has on sale: you'll also find the handheld bladeless fan has been reduced from £39.99 to £7.99. Also, the 16-Inch Standing Oscillating 3-Speed Fan has dropped from £39.99 to £24.99. GoGroopie stocks an extensive range of items including home furniture, fashion and electronics at low prices, along with experiences and online learning courses.
