Ministry of Commerce: China and Europe agree to establish a Trade and Investment Working Group

Xin Jing Bao reports: According to a statement from the Ministry of Commerce, on March 26, Minister of Commerce Wang Wentao met with the EU Commission’s Commissioner for Trade and Economic Security, Shefqovich, in Yaoundé, Cameroon, during the fourteenth WTO Ministerial Conference (MC14). The two sides exchanged in-depth views on issues such as WTO reform and China–EU economic and trade relations. Ambassador Li Yongsu, head of the Chinese delegation to the WTO, attended the meeting.

Wang Wentao said that both China and the EU are firm supporters and active contributors to the multilateral trading system. They should work together to promote MC14 to achieve practical outcomes in areas such as WTO reform, the Investment Facilitation Agreement, and e-commerce, helping all parties—especially developing members—better integrate into the multilateral trading system and benefit more from mutually beneficial multilateral cooperation. Most-favored-nation treatment is the cornerstone of the multilateral trading system; China and the EU should stand firm on their position and set an example in upholding most-favored-nation treatment. China attaches great importance to some members’ abuse of industrial policies and damage to subsidy discipline, and it takes an open attitude toward discussions on issues of fair competition within the WTO framework.

Wang Wentao said that China and the EU are important economic and trade partners for each other. They should strengthen dialogue and communication, and hope the EU side will take a rational and objective view of China’s development. They should handle differences and frictions appropriately and jointly promote the sound and positive development of bilateral economic and trade relations. China is willing to actively expand imports from the EU, and it also hopes the EU side will ease export controls on high-technology products, without politicizing or weaponizing economic and trade issues. China pays close attention to a series of economic and trade tools the EU has introduced in recent years—especially the draft revision of the Foreign Subsidies Regulation, the draft amendments to the Cybersecurity Law, and the Industrial Accelerator Act, among others. These protectionist pieces of legislation will seriously affect normal China–EU economic and trade cooperation and the stability of production and supply chains. China hopes the EU side will attach great importance to China’s serious concerns and address them appropriately through dialogue and consultations.

Shefqovich said that both the EU and China share broad consensus on WTO reform. The EU is willing to work with China to help ensure MC14 is a success and to jointly safeguard the authority and effectiveness of the multilateral trading system. The EU recognizes that most-favored-nation treatment is the cornerstone of the multilateral trading system, but it needs to recalibrate according to developments in the situation. China–EU economic and trade cooperation faces a new situation. The EU is willing to strengthen engagement with China, manage differences in a reasonable and effective manner, and ensure that bilateral economic and trade cooperation develops smoothly. The Commissioner sincerely invites Minister Wang Wentao to visit the EU headquarters within the year to conduct comprehensive and in-depth discussions on China–EU bilateral economic and trade relations.

The two sides of China and the EU have agreed that they will set up a trade and investment working group to hold professional discussions on issues arising in bilateral economic and trade cooperation. The two sides also agreed to continue dialogue and exchanges under the “upgraded” dialogue mechanism for China–EU export control.

Editor: Liu Jianni