The EU’s trade policy chief warned that the Chinese Communist Party‘s decision to escalate the sanctions dispute could jeopardize a market access agreement that was supposed to be the cornerstone of future relations between Brussels and Beijing.
The Financial Times quoted EU trade commissioner Valdis Dombrovskis as saying that the fate of the negotiated “EU-China Complete Agreement on Investment” (EU-China Complete Agreement on Investment, CAI) is similar to that of the diplomatic dispute that erupted this week. CAI for short) the fate of the diplomatic dispute with the outbreak of this week is closely related. Eastbrooks said, “China’s retaliatory sanctions are regrettable and unacceptable.” He said that the “prospect of ratification” of the agreement will depend on the development of the situation.
The European Commission completed seven years of negotiations with Beijing on the investment agreement late last year. Human rights groups have criticized the EU for putting commercial interests ahead of basic values.
In an email Monday (March 22), Iuliu Winkler, vice chairman of the European Parliament’s International Trade Committee, said that “in light of the latest developments in EU-China relations today, in particular (China’s) unacceptable sanctions,” the European Parliament decided to cancel the negotiations scheduled for Tuesday on the signing of the The European Parliament decided to cancel a deliberative meeting scheduled for Tuesday on the signing of the China-EU Comprehensive Investment Agreement (CAI). He also tweeted that “the EU is about values and principles, both within the EU and globally.”
The EU joined forces with the United States, Britain and Canada on Monday to announce sanctions against key officials involved in the persecution of the Uighur Muslim minority in Xinjiang. Beijing responded swiftly, announcing sanctions against 10 individuals and four entities in Europe, including several members of the European Parliament and a number of leading European think tanks and academics. They have all been active voices on human rights issues in China. EU and European Parliament leaders expressed their support for the various Members of Parliament sanctioned by China, while the European Parliament cancelled a meeting to review the EU-China investment agreement. The European-China Comprehensive Investment Agreement (CAI) requires the approval of the European Parliament to enter into force.
Activists and UN human rights experts estimate that at least one million Uighur Muslims have been detained in re-Education camps in Xinjiang. They accuse the Chinese Communist authorities of using torture, forced labor, and forced sterilization against Uighurs in Xinjiang. The Chinese government has repeatedly claimed that those re-education camps are intended to provide vocational training and are primarily aimed at combating extremism.
However, Dombrovskis said he does not want the EU’s conflict with China to go on indefinitely. “The EU has been making every effort to establish a balanced, rules-based economic relationship with China, and the CAI is an important step in that direction,” he said.
Dombrovskis noted that both the EU’s trade and economic agendas are based on shared values and that pursuing economic interests and preserving values are both necessary. But he said he believes neither China nor the EU wants the situation to escalate.
Iuliu Winkler, a member of the European Parliament in charge of China affairs in the European Parliament’s trade committee, told the Financial Times that China’s decision to retaliate in the sanctions dispute amounted to a “regrettable escalation. I hope diplomatic efforts will find a way to de-escalate the situation,” he said.
Inma Rodríguez-Piñero, a member of the European Parliament in charge of trade with China from the center-left group of the parliament, told the Financial Times that “there is enough Time to change the situation. “Now it’s time to wait for diplomatic efforts to work”, she added.
However, the large center-left socialist and democratic groups in the European Parliament have made it clear that ending sanctions against the European Parliament is a “prerequisite” for progress in ratifying the investment deal. Many members of the European Parliament pointed out that it is politically impossible for the Parliament to hold a vote to approve economic agreements with countries that are aggressive towards their members.
Even before the current dispute, MEPs involved in the process had stressed that the ratification of the agreement would depend in part on China providing a “roadmap” for the implementation of international conventions against the use of forced labor, as well as engaging with the EU on other human rights issues. As part of the agreement, Brussels has received commitments from China in these areas, but critics argue that they do not go far enough.
The benefits of the EU-China comprehensive investment agreement for China are seen as largely limited to limited and reciprocal access to the EU renewable energy market. EU diplomats point out that the real attraction for Beijing is the political benefits, and that the agreement could help Beijing defuse the pressure on China from the U.S. and Europe working together. EU officials believe that in the short term, China’s biggest concern is to keep Europe neutral in the U.S.-China dispute, so the agreement is more like a carrot offered by China.
Commenting on the ratification process, Winkler said the agreement still has a long way to go before final approval, during which China must respond to the expectations of the European Parliament.
Responding to the European Parliament’s decision to cancel consideration of the China-EU Comprehensive Investment Agreement, Chinese Foreign Ministry spokeswoman Hua Chunying said on Wednesday (March 24) that the agreement is not a “gift” from one party to the other, but is mutually beneficial. China said on Monday that the sanctions announced by the European Union were “based on lies and false information”.
Recent Comments