Europe is to reinforce its tougher line against China by following the US in slapping tariffs on Chinese products that benefit from alleged subsidies.

In the biggest policy change to emerge from a year-long review of the EU’s trade defence instruments, Peter Mandelson, the trade commissioner, is to propose to allow the Commission to start anti-subsidy actions itself. It would no longer have to wait to receive complaints from companies, which are mostly reluctant to do so for fear of retaliation by Beijing.