Competition from China could further destabilise the European industrial real estate sector.
In a paper on the sector released in December 2025, Oxford Economics has warned China is competing with Europe in an increasing number of more valuable areas, such as electric vehicles, renewable tech, to advanced machinery, which is displacing European producers at a higher rate than ever before. This, says the data analysis firm, presents an existential threat to European industry, particularly in Germany. Since 2020, imports from China have grown at a double-digit rate annually, but exports from the European Union to China have continued to fall.
Oxford Economics believes Europe is also at risk of more supply-chain disruption due to dependence on key Chinese materials. It highlights a potential bellwether event in September 2025, when the Dutch government took control of a semiconductor manufacturing company, citing national security. China responded by curbing exports of vi
