This week the European Commission will set out a comprehensive reframing of Europe's approach to its political and commercial partnership with China. After two decades of rapid change in China, Europe needs a new strategy for managing the relationship that responds to today's global challenges and encompasses both a frank debate on values and tough commercial competition.
Europe's open market has been one of the key levers of China's economic growth. In turn, Europe has benefited from China's market for advanced technology, high-value goods and complex services. European consumers and businesses have benefited from competitively priced Chinese imports, and from the low interest rates they have helped to sustain.
Europe should continue to offer open and fair access to China's exports and to adjust to the competitive challenge. European leaders should continue to argue for the mutual benefits of open economic engagement with China.
Europe must seek a partnership with China based on shared values. Europe can call for open markets in China and fair treatment for its businesses, but not from behind barriers of its own. When we use antidumping measures, they must only be directed against unfair trade, not used to deflect fair competition.
The European Commission's new China initiative strikes these balances by flagging the responsibilities on both sides. Its first concrete step will be a new comprehensive partnership and cooperation agreement with China, and the updating of our trade and investment agreement.
