Restoration work

Healthy relations between China and the EU are beneficial to both and the world

As the world's second-largest economy and a major global power, China is an important partner for Europe. Europe and China have a strong economic relationship and trade between China and the European Union has been growing rapidly in recent years, accelerating from 4.4 percent in 2020 to over 20 percent in 2021 and 2022. China was the European Union's second largest trade partner in 2022 behind the United States, with total imports and exports reaching 856.3 billion euros ($931.7 billion), according to Eurostat data. The EU and China not only account for over one-third of the world GDP, but their combined exports also make up over one-third of the total world trade.

Overall, the relationship between Europe and China remains complex and multifaceted although there has been a lot of talking about decoupling and de-risking strategies, and the two global powers remain strategic rivals in some aspects.

On the one hand, the EU seeks to attain strategic independence and greater reciprocity in international relations, and currently it holds the belief that trade and investment relations with China are characterized by significant asymmetries. On the other hand, China is seeking to transition away from its traditional economic model, striving for a more balanced path of development.

As chairman of the Belgian-Chinese Chamber of Commerce, I believe in bilateral cooperation, and I believe that cooperation between the two sides is beneficial for both parties, and for the world in general. We can't forget that there is a mutual dependence between the EU and China: Europe presents a larger market for China than the United States, and China accounts for around 15 percent of the EU's total trade. In other words, there should not be any fundamental conflict of interest between China and the EU, as both sides benefit from each other's development, adherence to strategic autonomy and multilateralism, and have reached a broad consensus on climate change and other global issues.

Against the backdrop of complicated geopolitical changes and challenges in an increasingly multi-polar world, it is indispensable to foster the constructive cooperation between China and the EU on crucial issues. We don't need to ignore our cultural or political differences, but should at least keep an open mind and an open dialogue, in order to be able to work on global problems together. We should aim to see each other in a rational and objective light, rather than blindly focusing on political points of conflict and some negative media representations. As the world continues to change and global challenges evolve, Europe and China will indeed need to continue to work together. I also see possibilities for collaboration on regional and international security issues, such as peacekeeping and counter-terrorism, as well as on the green transition, trade relations and the digital field.

Luckily, there are signs that relations between the EU and China have been thawing in recent weeks. The growing people-to-people contacts between European and Chinese businesspeople will hopefully help grow mutual understanding. On a high political level, things have been moving as well. Several European leaders have recently visited China and Chinese Premier Li Qiang met with European Council President Charles Michel on June 22 in Paris, France. Premier Li said that China is ready to make joint efforts with the EU to enhance the reliability and stability of China-EU trade and economic relations, which will bring greater benefits to both sides. Recently, President Michel highlighted that the EU is ready to strengthen its communication and exchanges with China, to grow cooperation on multiple levels and to work together to jointly address global issues such as climate change and health issues. The EU-China Partnership on Climate Change, for example, has provided a high-level political framework for cooperation and dialogue. The EU and China could also engage with each other to cut emissions and finance clean energy and clean development in developing countries.

Moreover, on June 29 and 30, the European Council reaffirmed the EU's multifaceted policy approach toward China. It still considers China simultaneously a partner, a competitor and a systemic rival. It is encouraging that the EU mentioned that despite their different political and economic systems, they have a shared interest in pursuing constructive and stable relations, anchored in respect for the rules-based international order, balanced engagement and reciprocity. There's also specific mention of a continuation of engagement with China to tackle global challenges, such as climate change, health and pandemic preparedness and security. But most importantly, it says in the meeting report that the EU does not intend to decouple or to turn inwards. These are promisingly positive signs of how EU-China relations seem to be improving again.

I am looking forward to seeing the EU-China relationship further develop positively in the future.

The author is chairman of the Belgian-Chinese Chamber of Commerce (BCECC). The author contributed this article to China Watch, a think tank powered by China Daily.

The views do not necessarily reflect those of China Daily.

Contact the editor at editor@chinawatch.cn.