China Calls for Stronger EU Partnership Amid Trade Tensions and Geopolitical Challenges

Strengthening China-EU Relations Amid Rising Protectionism
As geopolitical tensions and global protectionism intensify, China’s head of mission to the EU, Cai Run, has urged for stronger cooperation between China and the European Union. In an exclusive opinion piece for Euronews, Cai emphasized that despite current challenges, China and the EU share far more common ground than points of divergence. He stressed that both sides should prioritize collaboration over competition, particularly as the world faces an uncertain economic recovery and escalating trade conflicts. Cai described China and the EU as “partners, not rivals,” underscoring their mutual interests in achieving stability and prosperity.

The ambassador pointed to the 50th anniversary of China-EU diplomatic relations in 2025 as an opportunity to enhance ties and work together to overcome global challenges. He reiterated that addressing economic and trade frictions through dialogue is essential to avoid a trade war, which would ultimately harm both economies and disrupt global stability. Despite the trade disputes, Cai remains confident that the two sides can find common ground to ensure long-term cooperation.

EU Tariffs on Chinese Electric Vehicles and Trade Disputes
One of the major points of contention between China and the EU has been the imposition of new tariffs on Chinese electric vehicles (EVs). In October, the EU levied tariffs on Chinese-made EVs for five years, citing concerns that Chinese manufacturers, supported by massive government subsidies, were undercutting European prices and threatening jobs in the European automotive sector. China has strongly criticized these tariffs as unfair and protectionist, with Beijing retaliating by launching anti-dumping investigations into European exports of brandy, pork, and dairy products.

While Cai’s opinion piece does not directly address these specific disputes, he acknowledged that the economic outlook in both China and Europe remains tied to their ability to manage such tensions. He expressed hope that both sides would find constructive ways to handle trade issues, through negotiations and consultations, to maintain stable relations. Cai emphasized that economic cooperation between China and the EU benefits both parties and the global community at large.

China’s Economic Outlook and Commitment to Open Investment Policies
Amid these trade disputes, Cai expressed confidence in China’s economic prospects for 2024. He assured that China would meet its growth targets despite challenges such as domestic demand issues and pressures on employment and income growth. He highlighted China’s efforts to accelerate technological innovation and industrial development, which he believes will drive future economic growth. Additionally, Cai noted that China has lifted all restrictions on foreign investment in its manufacturing sector and implemented a visa-free policy for citizens from 38 countries, including 24 EU member states.

Cai further assured that China would continue to expand its economy’s openness by aligning with international trade standards, introducing more unilateral opening-up policies, and expanding its network of free trade zones. These efforts are designed to create greater opportunities for foreign investment and enhance China’s role in global trade.

EU’s Divided Stance on China: Trade Protection vs. Investment Growth
Within the EU, there are differing views on how best to manage relations with China. Some EU member states are wary of Chinese competition, particularly in sectors where Chinese subsidies have made it difficult for local industries to compete, such as in the electric vehicle market. These states favor policies that protect European markets from subsidized Chinese products. On the other hand, there are EU member states that prioritize attracting Chinese foreign direct investment, which is seen as vital for economic growth and job creation.

This division within the EU complicates its relationship with China, as the union seeks to balance the interests of its member states that are concerned about Chinese competition and those that are focused on fostering greater economic cooperation with China. The EU faces the challenge of crafting policies that both protect its domestic industries and encourage investment opportunities with China.