EU-China Relations

What happens next?

The relations between the EU and China become increasingly important, especially after US-President Donald Trump’s threatened trade war. Also during the One Belt, One Road Forum which was held in Beijing and attended by numerous heads of government, the EU-China Summit has been one of the primary subjects.

In the strategy paper that was published in March the EU expressed criticism at the Chinese framework conditions. The EU wants more initiative from China and thus demands an equal access to the market.

Despite some initial tensions, both sides supported a rules-based trading system. China declared its willingness to further open up its markets in order to make fair competition possible. Moreover the EU has shown itself open to integrating Chinese technology for the expansion of the European 5G networks, regardless of all fears over cyber-espionage. Both sides have also agreed to a greater cooperation in the area of Chinas "One Belt, One Road-project" and the initiative “EU-Asia Connectivity Strategy”.

In order to secure the goals set, stricter observations will be introduced that are to be summarised in a report at the end of the year and investment screening should serve as an additional control element. Therefore companies from third countries must from now on meet certain criteria in order to be allowed to invest in Europe.

According to experts the following months will show whether China will keep its promises and whether the control instruments, which were introduced by the EU, will be effective enough.