The present study focuses on the relations between China and the European Union by taking into consideration a specific matter of discord: The arms embargo, which is effective since 1987 and which has political and economic repercussions. Chinese authorities have frequently asked for the removal of the embargo, but the European authorities declined despite internal divisions. Nevertheless, commercial relations between Brussels and Beijing grow bigger and no deterioration is expected in the foreseeable future. The objective of the study is to find the reasons why the embargo may still remain in place. The reason why European authorities stick to the ban is threefold. First, their arms sales to China can lead to a shift in the balance of power with undesired consequences. Second, the European Union is backed by major powers (especially Japan and the USA) on the issue. Third, the current stalemate has not impeded the development of political and economic relations between Beijing and Brussels so far.