BRUSSELS: The European Union should act extra forcefully to rebalance its trade relationship with China, the bloc’s govt mentioned on Friday (Could 29), after holding talks on defending crucial industries from Chinese language rivals.
“China is a crucial companion, and engagement and dialogue will proceed. On the similar time, the present state of the commerce and funding relationship just isn’t sustainable,” the European Fee mentioned.
“As financial and safety pursuits change into ever extra intertwined, each dimensions would require a extra strong response,” it mentioned.
The EU is more and more involved about its commerce hole with China.
The bloc’s commerce deficit in items with China hit 360 billion euros (US$419 billion) final yr, that means Chinese language exports exceeded EU imports considerably.
European commissioners met to debate what measures – present and new – the EU might take.
However the EU mentioned its “overarching strategy stays de-risking, not decoupling”, because the 27-nation bloc desires to keep up commerce relations with China whereas lowering its dependence on the Asian powerhouse.
The fee mentioned the controversy would “feed into work within the coming weeks” forward of additional talks on China and commerce imbalances on the G7 heads of state assembly in France on Jun 15-17, and a gathering of EU leaders in Brussels on Jun 18-19.
