Europe faces mounting pressure to stay competitive against US and China

Europe is under increasing strain as it seeks to remain competitive amid growing challenges from the United States and China.

For decades the continent has relied on the United States for security and on China for inexpensive goods, but recent tensions with Washington over tariffs, defence spending and the issue of Greenland are testing the transatlantic relationship.

China continues to dominate key supply chains and raw material markets that Europe still depends on, reinforcing the strategic rivalry.

Although European leaders were absent when Presidents Donald Trump and Xi Jinping met last week, the outcomes of that summit are expected to affect Europe directly.

Europe’s advantage lies in its single market of 450 million consumers, yet closing the competitiveness gap will require deep structural reform and massive investment.

Source: Al Jazeera. Photo: Petrit Nikolli / Pexels.