EU Presses China to Share More of Its Industrial Gains With Trade Partners
The European Commission is seeking progress from China on the widening trade imbalance and has raised the possibility of further protectionist measures. The debate centres on how China can preserve its industrial competitiveness while ensuring that trading partners also benefit from its economic strength.
The European Commission is pressing China to make progress by next month in addressing what it regards as a widening imbalance in trade between China and the European Union. The commission has also raised the possibility of introducing additional protectionist trade policies. The position reflects concern among exporting economies about the scale of China’s industrial strength and its effect on trading partners.
China’s merchandise trade surplus approached US$1.2 trillion last year, according to the supplied report. The figure has become part of a wider argument over whether Chinese production capacity is creating economic imbalances in international markets. The central question, as presented in the report, is how China and its trading partners can share the benefits of Chinese industrial competitiveness while responding to perceptions of overcapacity and unequal trade.
The European pressure comes as other exporting economies also push for controls. The available material does not specify the measures under consideration, the sectors involved or the response from Beijing. It likewise gives no details of the deadline’s consequences if progress is not made.
The report frames the issue as a choice between cooperation that spreads the gains from Chinese industry and policies that could restrict trade.
This independently written report is based on information supplied by the named publisher. Vertrix News has not independently verified the source report.