The decelerating Chinese economy, exacerbated by a confluence of factors including a protracted property crisis and mounting transatlantic resistance to its export surge, is compelling European enterprises to implement stringent cost-cutting measures and curtail investment within the region, as revealed by the annual European Union Chamber of Commerce in China survey, with governmental subsidies identified as a key catalyst for overinvestment in sectors such as electric vehicles, precipitating a glut that has ignited relentless price wars and necessitated an outward orientation in pursuit of alternative markets, whilst concurrently, anxieties proliferate within Europe regarding the potential for escalating Chinese imports to destabilise indigenous industries and employment prospects, prompting retaliatory measures such as the imposition of EU tariffs on Chinese EV imports under the aegis of unfair subsidisation, collectively contributing to a discernible erosion of business confidence and diminishing profitability margins.