Lably
Skip to content

China–European Union relations

Bilateral relations

  • 23 min read
  • 6 chapters

Related on Lably

Through China, European Union and ASEAN

Since March 2019, the European Union has referred to China as "a cooperation partner…, a negotiating partner…, an economic competitor…, and a systemic rival". The EU has put an arms embargo and numerous anti-dumping measures against the PRC in place. The EU has become increasingly critical of the PRC for its support of Russia in its invasion of Ukraine.

Framework initiatives

Relations are governed by the 1985 EU-China Trade and Cooperation Agreement. Since 2007, negotiations have been underway to upgrade this to a new European Union Association Agreement and there are already 24 sectoral dialogues and agreements from environmental protection to education.

The EU-China 2020 Strategic Agenda for Cooperation, adopted in 2013, calls for cooperation in the areas of "peace, prosperity, sustainable development and people-to-people exchanges." In the document, the EU reaffirmed its respect for China's sovereignty and territorial integrity, while the PRC reaffirmed its support to EU integration. In 2016, the EU adopted the "Joint Communication on elements for a new EU strategy on China" as its strategy on China. An annual EU–China Summit is held each year to discuss political and economic relations as well as global and regional issues.

Science and technology

China and the EU launched their first science and technology cooperation program in 1983. They also drafted an Agreement on Scientific and Technological Cooperation in 1998 which was renewed in 2004 with the aim of linking research organisations, industry, universities and individual researchers in specific projects supported by the EU budget.

Cooperation between the EU and China in the area of science and technology was facilitated by the Horizon 2020 program, addressing the following areas: (i) food, agriculture and biotechnology (FAB); (ii) sustainable urbanization; (iii) energy; (iv) aeronautics; (v) and other areas including ICT, water, health, society, polar research, sme instrument, and space.

Comprehensive Agreement on Investment

The EU–China Comprehensive Agreement on Investment (CAI) has been under negotiation since 2014. DG Trade Phil Hogan in the Von der Leyen Commission promised during his September 2019 confirmation hearings that he would seek to complete the negotiations by the end of 2020. In December 2020, the European Union and China announced that they reached an investment deal that was first launched in 2013, referred to as the Comprehensive Agreement on Investment (CAI). In March 2021, it was reported that there would be serious doubts about the approval of the deal in the European Parliament given the PRC's sanctions against members of the parliament, the European Council's Political and Security Committee, and European think tanks. In May 2021, the European Commission announced plans to reduce dependence on the PRC in strategic areas of the economy. The same month, the European Parliament froze ratification of the CAI.

In 2020 and 2021, the Comprehensive Agreement on Investment drew a "firestorm of criticism" from US politicians and political commentators, who complained that the EU had not consulted the US before agreeing to the deal. However, as the US itself had signed a trade agreement with China a year prior without first having consulted the EU, the criticism was largely dismissed as being "hypocritical". Additionally, the Biden administration has claimed that the US will be "at the head of the table again", which some analysts say might be viewed as a threat towards the EU's goal of strategic autonomy from the US by implying that the European Union "[should] play second-fiddle to Washington".

Sign in to keep reading

5 more chapters are free with a Lably account.

More in Politics and economics