Business

EU-China Comprehensive Agreement on Investment: Core Negotiation is Concluded

On 30 December 2020, after an online meeting between China and EU leaders, the two sides concluded in principle the negotiation around the EU-China Comprehensive Agreement on Investment. This means that the negotiation is going to end soon after six years of debates.

In this agreement, China will be more open to EU investors, by promising not forcing technology transfers and a more transparent industrial subsidies system. These will shape a better (or fairer) investment environment, allowing more equal competition with Chinese local enterprises, for EU investors in China.

Other openness policies include the removal of quotas and compulsory joint ventures in various industries. And a dispute resolution mechanism will be established under the agreement.

There will not be huge changes in the EU market as it is already largely open. Industries marked as ‘sensitive’ in the EU remain relatively less open.

For more details please visit the EU press release or the BBC News [in Chinese].