General

After 7 years and 35 rounds of negotiations, China and the European Union completed the negotiation of the China Europe Investment Agreement on December 30, 2020. This is a hard-earned high standard agreement that conforms to the principle of mutual benefit and win-win between China and the EU. At the same time, the agreement also has considerable flexibility and openness, providing ample opportunities for enterprises to smoothly enter the two major markets of China and the EU.

However, in the complex international situation, on May 20, 2021, the European Parliament unilaterally "frozen" the China Europe Investment Agreement. Afterwards, both sides worked hard to push the agreement forward. China has always hoped to overcome difficulties with the European side and release the huge opportunities that the agreement will bring to economic and trade cooperation between China and Europe as soon as possible. In April 2023, at this beautiful moment of 'Budze in the sunny spring, all things shine', multiple European leaders came to China to seek cooperation. With the increasing high-level interaction between China and Europe, Chinese and European business enterprises hope that the 'China Europe Investment Agreement' may usher in a 'thawing' opportunity.

China and Europe have formed a strong economic symbiotic relationship, and the launch of the China Europe Investment Agreement is a significant benefit for both sides' economic development. Chinese Ministry of Commerce spokesperson Shu Jueting stated at a previous press conference that in the first 10 months of 2022, the trade volume between China and Europe reached 711.4 billion US dollars, an increase of 6.3%. China remains the largest trading partner of the European Union, and the EU continues to become China's second largest international trading partner. According to EU data, China has become the second largest trading partner of the EU for 16 consecutive years. The EU's exports to China reached 1982 billion euros, accounting for 5.1% of the total export volume. The implementation of the China Europe Investment Agreement will help promote the long-term and stable development of international trade and economic cooperation between China and Europe, provide more convenience for enterprises from both sides to conduct business in their respective markets, and further enhance mutual trust and cooperation between China and Europe.

The China Europe Investment Agreement is in line with the principle of mutual benefit and win-win situation. For the first time, China has promised to open up market access for all industries. The agreement has considerable flexibility and a high degree of openness, not only for manufacturing and other industries, but also for new energy, healthcare, high-tech, financial consulting and other fields. It can greatly provide high-level market access opportunities for both sides' enterprises. In addition, the agreement reached provisions on subsidy transparency, state-owned enterprises, and prohibition of mandatory technology transfer, providing more fair and transparent conditions for enterprises in terms of business environment. For example, the agreement stipulates that both companies can choose their own technology cooperation methods and prohibits mandatory technology transfer. This will help protect the legitimate rights and interests of enterprises in technical cooperation. In terms of sustainable development, the agreement has also made important commitments. At the same time, it will promote cooperation between enterprises of both sides in environmental protection, labor rights, anti-corruption and other aspects to provide support and guarantee for sustainable development. A balanced and high standard agreement is a significant benefit for the economic communities of both China and Europe, and will be conducive to elevating the international trade and economic relations between China and Europe to a new level.

The more turbulent the international situation is, the more prominent the global challenges are, and the greater the significance of China's international trade and economic cooperation with the European Union for the global economy. Despite the influence of complex foreign situations, China and the European Union still overcome difficulties and solve problems on the basis of equality and mutual benefit, striving to establish strategic partnerships, and conducting cooperation in politics, security, trade, and investment. In the first half of this year, Sweden, as the rotating presidency of the European Council, also stated that it will continue to discuss with the European Parliament to promote the EU to ratify the China Europe Investment Agreement as soon as possible. China is also willing to work with the European side to oppose the "decoupling theory" and jointly promote global prosperity. The economies of China and Europe are enormous, and they are important markets for promoting common global economic development. They will undoubtedly become two important forces in maintaining world peace. Strengthening China Europe relations not only benefits both sides, but also provides a feasible cooperation model for the international community. The China Europe Investment Agreement has great potential for promoting international trade and economic cooperation between China and the EU. The implementation of the agreement requires joint efforts from both sides to overcome difficulties. As Shu Jueting said, the China Europe Investment Agreement is beneficial to China, the European Union, and the world. Both China and Europe should work together to promote the signing and entry into force of the agreement, and benefit both businesses and people as soon as possible.