The pan-European STOXX 600 index fell 0.5% by 0804 GMT, set to end the week marginally lower.
German Chancellor Angela Merkel wants “very fast action” after the country saw a record number of deaths from the coronavirus, while French government said it will strengthen its border controls from Monday and impose an earlier curfew from Saturday to curb the spread.
The German DAX was down 0.5% and France’s CAC 40 fell 0.6%. UK’s FTSE 100 also declined 0.6% despite data showing that Britain’s economy recorded a smaller-than-expected contraction in November.
In company news, German business software group SAP rose 0.9% after it released preliminary annual results that came at the high end of guidance, but forecast a decline in operating profit in 2021.
Siemens Energy AG fell 5.3% after General Electric Co accused a subsidiary of the power distribution company of using stolen trade secrets to rig bids for lucrative contracts.