China

As the EU’s second largest trading partner, China provides business opportunities and supports jobs across Europe. However, navigating the bilateral relationship can be challenging at times. The EU must show assertiveness, unity and a readiness to protect the EU’s economic interests while continuing to engage with China on foreign policy, trade and investment. The EU should also address the market-distorting policies and encourage greater market access in China. To achieve this, the EU should use both traditional and recently adopted trade defence instruments – when warranted and on a case-by-case basis. Finally, the EU should cooperate with China in areas that require global responses such as the reform of the multilateral trading system, international peace and stability, climate change, health and pandemic preparedness and areas where the EU also has an economic interest, such as standardisation.