Trump tried tariffs with China. The US lost that trade war, the EU would too.
China have successfully tied up raw materials production in some key areas. Not just their domestic supply, but their belt and road tactics in Africa. Then Russia is obviously out
North American and South American supplies tend to.trade with the US.
Australia is our best source of Lithium and a lot of that is currently entering the Chinese market before being sold on globally as China have become a regional hub.
It’s not just “companies relying on China”. China has deliberately positioned themselves to have control of raw materials. The west, in general, has not.
The West has done the same for tertiary economic products and hi-tech manufacturing products. So in general trade is at a reasonable economic equilibrium. But as Chinese technology improves, and they manufacture more difficult products domestically, we do have to look at building a secure raw materials to final production route for our industries.