The Sound of Economics

In this episode of The Sound of Economics, Yuyun Zhan and Alicia García-Herrero invite Philippe Le Corre to examine the growing tensions at the heart of European Union-China relations. With China reporting a record $1.2 trillion trade surplus last year, European industries face intensifying competition across a far wider range of sectors than before, from chemicals and green tech to pharmaceuticals and, most visibly, the auto industry. They explore whether the EU's new trade instruments are up to the task, why member state fragmentation may be a bigger obstacle than Beijing itself and how the risk of Chinese retaliation constrains every move Brussels makes.

Relevant research:

García Bercero, I., B. McWilliams and S. Tagliapietra (2026) ‘The flaws in the European Union’s proposed Industrial Accelerator Act and how to fix them’, Policy Brief 10/2026, Bruegel

This episode is part of the ZhōngHuá Mundus series of The Sound of Economics. ZhōngHuá Mundus is a newsletter by Bruegel, bringing you monthly analysis of China in the world, as seen from Europe. Sign up now to receive it in your mailbox!

In this episode of The Sound of Economics, host Rebecca Christie looks into the future with Bruegel’s emerging talents Maria Catarina Louro, Tillman Schenk and Théo Storella. Demographic change is coming for the world, as fewer new workers grow up to replace earlier generations of workers. China is at a crossroads of not only population decline but also industrial dominance, putting its economy in renewed competition with the United States and Europe. And artificial intelligence will change the workforce, the manufacturing base and the productivity outlook all over the world. How should current policymakers and thinkers shape the world that lasts beyond their lifetimes? How can the field of economics contribute?
Relevant research:

Bruegel Dataset (2023) 'China economic database', version of 27 May 2026, Bruegel 

Dabrowski, M. and M. Catarina Louro (2025) 'Economic convergence, demography, labour markets: what progress have EU candidate countries made?' Analysis 29/2025, Bruegel

García-Herrero, A., T. Storella and J. Xu (2025) 'European companies operating in China: from digging in to rethinking their presence', Working Paper 14/2025, Bruegel 

Richter, P. and T. Schenk (2025) 'EU data processing consent reform must account for market incentives', Analysis 39/2025, Bruegel 

Schenk, T. (2026) 'Chips Act 2.0 and beyond: Indispensability, not self-sufficiency', Comment May 2026, Encompass

In this episode of The Sound of Economics, host Rebecca Christie speaks with Bruegel’s Simone Tagliapietra and Flora Marchioro about the European Union’s pathbreaking carbon trading scheme. Two decades in, what have we learned about capping emissions and using tradeable allowances to rein in pollution from energy-intensive sectors? What are the stakes of this year’s review of ETS, which includes electricity and heat generation, industrial manufacturing, domestic aviation and the maritime sector? Why is the EU now creating a second round of ETS 2, covering buildings and road transport, and what are its prospects? Who gets the money from ETS revenues and how is it earmarked? And how is the EU working to prevent carbon leakage and manage its new carbon border adjustment mechanism? This discussion will get you up to speed and ready for what comes next.
Relevant research:

Mramor, T. and S. Tagliapietra (2026) 'Europe’s emissions trading system is an ally, not an enemy, of industrial competitiveness', Analysis 03/2026, Bruegel

Tagliapietra, S. and G. Zachmann (2026) 'Five reasons why attacking the EU carbon market is economic self-sabotage', First Glance, Bruegel

Pahle, M., D. Sultani and G. Zachmann (2026) 'Defragmenting European Union climate policy', Policy Brief 03/2026, Bruegel

In this episode of The Sound of Economics, host Rebecca Christie discusses the European Commission’s spring economic forecast with Bruegel’s Andreas Billmeier and Mahmood Pradhan. Growth is slowing down while inflation surges in response to higher energy prices. Is the job market on the brink of a bigger slump? Will energy markets adjust again or will this cycle last longer? How might the European Central Bank react? Looking outside the European Union, how is the UK economy faring? Will the costs of Brexit force a reassessment of UK-EU relations in London? As long as global conditions remain so uncertain, European economies are unlikely to bounce back – so how can policymakers find the growth they need? With bigger economies like Germany and Italy in the doldrums while Poland, Denmark and Sweden show more resilience, how should the EU respond and what could be coming next?
Relevant research:

European Commission (2026) 'Spring 2026 economic forecast: Slowdown in growth as energy shock drives up inflation', 21 May 

Weder di Mauro, B. and J. Zettelmeyer (2026) 'The new global imbalances: why care, why now and what should be done?', Essay 01/2026, Bruegel

In this episode of The Sound of Economics, Yuyun Zhan and Alicia García-Herrero sit down with Jonathan Fulton to interrogate some persistent assumptions about China's role in the Middle East. From the China–Iran partnership to the Saudi–Iran rapprochement, they explore whether the conventional wisdom misreads a deeply complex region – overstating Chinese ambition, understating local agency and flattening a relationship that is transactional, rather than strategic.
Relevant research:

Fulton, J. (2025) ‘Present without impact? How the Middle East perceives China’s diplomatic engagement’, Issue Brief, Atlantic Council

García-Herrero, A. (2026) 'What the war in Iran means for China', Analysis 06/2026, Bruegel

This episode is part of the ZhōngHuá Mundus series of The Sound of Economics. ZhōngHuá Mundus is a newsletter by Bruegel, bringing you monthly analysis of China in the world, as seen from Europe. Sign up now to receive it in your mailbox!