A new survey indicates that European companies operating in China are becoming more optimistic about their prospects, even as trade frictions between Brussels and Beijing intensify. According to the reporting, the share of respondents expecting their industry to grow in China over the next two years rises to about 35%, up from 29%—described as a record low—in 2025. The survey results come amid signs that European authorities are preparing to address a growing trade imbalance with China. Bloomberg reports that the European Commission appears poised to take action as exports surge and tensions spiral, while noting the shift in business sentiment among firms already present in the Chinese market. The Japan Times highlights the improvement in optimism compared with the prior year but does not dispute the broader context of escalating trade concerns. Taken together, the accounts suggest EU companies’ near-term outlook in China improves modestly, while policymakers in Europe move toward potential measures aimed at trade pressures and concerns over import and export flows.