Vice Premier Ding Xuexiang warned on Tuesday that no country would emerge victorious from a trade war, in a speech to the World Economic Forum in Davos as Donald Trump returned to the White House.

Ding, who's also a Politburo Standing Committee member, told the forum that a "tug of war" was underway between supporters and opponents of economic globalisation.

"Transformation not seen in a century is accelerating across the board with imminent tariff wars and trade wars.

"The global governance system is undergoing profound adjustments. Human society has once again come to a critical crossroads.

"Protectionism leads nowhere, and there are no winners in a trade war," Ding said, without mentioning Trump or the US by name.

China has also been locked in trade disputes with the European Union.

The EU imposed hefty tariffs on electric cars made in China last year. In turn, Beijing targeted European brandies and opened probes into EU subsidies of some dairy and pork products.

Without mentioning the EU or any country by name, Ding warned against "erecting green barriers that could disrupt normal economic and trade cooperation".

He called for a "consistent approach" in addressing climate change and trade policies "so as to prevent economic and trade frictions from impeding the process of green transition".

The president of the European Commission, Ursula von der Leyen, said Europe was ready to improve ties with China.

She stressed that Europe "must engage constructively with China – to find solutions in our mutual interest" despite escalating trade tensions between the two. (AFP)