EU-China investment deal likely this week, officials say – world news

EU-China investment deal likely this week, officials say – world news

European officials said on Monday that China and the European Union were likely to bring a deal this week that would allow EU firms to have better access to the Chinese market, improve competition conditions and protect EU investment.

Negotiations on the investment deal began in 2014, but were stuck for years as the European Union said China was unable to make good on the EU’s promise to curb investment, despite pledging to open the world’s second-largest economy. Was.

Officials said tensions in trade relations between the United States and China have helped change the Chinese position and bring about an agreement between Beijing and Brussels.

“The talks are going to end. It looks great. “There are only a few minor details that need to be removed,” an EU official told Reuters.

“As things are right now, the political agreement between the European Union and China will be sealed on Wednesday.”

Other officials close to the talks said that under the deal China would open up its manufacturing sector to EU companies as well as construction, advertising, air transport, marine services, telecommunications and to some extent cloud computing.

“We have better market access and protection of our investment in China. A senior EU official said that better market access is something that we have been working on for many years and the Chinese have taken a big step for us.

However, as per an agreed time, negotiations on investment protection are likely to continue next year as well.

If the agreement is politically agreed to on Wednesday, its transfer to legal texts may take several months. Officials said that with the ratification process, it could mean that it would be about a year before it was implemented.

Chinese Foreign Ministry spokesman Wang Wenbin told a regular news briefing on Tuesday that talks had made huge progress and China hoped a decision could come at an “early date” as part of a deal.

Negotiations have been conducted by the European Commission, which handles all external trade issues for the 27-nation bloc, with the aim of gaining equal access to EU firms, which would allow Chinese companies already in the EU market. Is for

The investment agreement also prohibits the forcible transfer of technologies by EU firms that establish themselves in China, and includes measures to discipline Chinese state-owned companies when it competes on the Chinese market and Rules on the transparency of state subsidies to Chinese enterprises.

Under the agreement, China will also pledge membership of the International Labor Organization rules on forced labor.

Officials said China wanted access to the EU’s energy market, but given the sensitivity on national security, the commission offered Beijing access to only a small portion of the renewable energy sector, and only on a reciprocal basis.

Officials said that the ambassadors of EU governments in Brussels discussed the agreement on Monday and none of the countries faced any major problems.

Poland suggested that the European Union should wait to discuss President-elect Joe Biden’s agreement with the new US administration, he added, but other countries did not share this view.

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