Date Posted: 2021-01-28
Navigating Turbulence: Challenges and Prospects for EU-China Relations
The relationship between the European Union and China is multifaceted and strategically important, yet it faces numerous challenges that suggest a potentially turbulent future. The European Policy Centre has published an analysis examining the difficulties and future prospects for EU-China relations, offering insights into the key issues and potential pathways forward. This analysis assesses the political, economic, and diplomatic dimensions of the relationship, highlighting areas of both cooperation and contention.
The “rocky road ahead” for EU-China relations stems from a confluence of factors. Economically, while trade volumes remain substantial, concerns persist regarding market access, intellectual property rights, and the level playing field for European businesses operating in China. China’s state-led economic model and industrial policies often clash with the EU’s commitment to free and fair competition. These tensions are exacerbated by growing trade imbalances and disputes over issues such as tariffs and subsidies.
Geopolitically, the EU and China have divergent interests and approaches on a range of issues, including human rights, democracy, and international law. China’s actions in Xinjiang, Hong Kong, and the South China Sea have drawn criticism from the EU, leading to sanctions and diplomatic tensions. Furthermore, China’s growing assertiveness on the global stage and its close relationship with Russia have raised concerns in Europe about the potential for strategic rivalry.
The COVID-19 pandemic has further complicated EU-China relations. The pandemic exposed vulnerabilities in global supply chains and highlighted the EU’s dependence on China for certain critical goods. It also led to disagreements over issues such as transparency, information sharing, and the origins of the virus. The pandemic has accelerated the trend towards greater geopolitical competition and has underscored the need for the EU to strengthen its resilience and strategic autonomy.
Despite these challenges, there are also areas where the EU and China share common interests and can potentially cooperate. Both sides recognize the importance of addressing global challenges such as climate change, pandemics, and nuclear proliferation. They also have a mutual interest in promoting multilateralism and maintaining a stable international order. The key is to find ways to manage the tensions and disagreements while maximizing opportunities for cooperation.
The analysis by the European Policy Centre suggests that the EU should adopt a pragmatic and realistic approach to its relationship with China. This approach should include the following elements:
Defending EU interests and values: The EU should be firm in defending its interests and values, including human rights, democracy, and the rule of law. It should be prepared to impose sanctions or take other measures to address violations of international law or human rights abuses.
Promoting reciprocity and a level playing field: The EU should press for greater reciprocity in its economic relations with China, demanding that European companies be given the same access to the Chinese market as Chinese companies have to the European market.
Strengthening strategic autonomy: The EU should strengthen its strategic autonomy by diversifying its supply chains, investing in research and innovation, and enhancing its security capabilities.
Engaging in dialogue and diplomacy: The EU should continue to engage in dialogue and diplomacy with China, seeking to address its concerns and to promote greater understanding and cooperation.
The EU-China relationship faces significant challenges in the years ahead. Navigating this “rocky road” will require skillful diplomacy, a clear understanding of mutual interests, and a commitment to addressing disagreements through dialogue and negotiation rather than confrontation. The ability to manage these complexities will be crucial for both the EU and China, as well as for the stability and prosperity of the global order. The future of this relationship hinges on the capacity to balance competition with cooperation and to uphold shared values while navigating diverging interests.
– Davide Pena –