China hit back at the European Union’s restrictions on its medical device makers while maintaining key exceptions, adding uncertainty to ties ahead of a high-stakes summit later this month.

The EU will seek to rebalance economic ties with China, demanding it eases market access for European firms and loosen export controls on rare earths at a summit this month, the bloc's chief said on Tuesday (Jul 8).

China has barred European medical device companies from selling to its government in response to EU trade restrictions.