Past Event

Perils and potential: China-US-EU trade relations

We are hosting a number of Chinese and EU experts to discuss trade relations between the three forces.

Date: September 17, 2018, 9:30 am Topic: Global Economics & Governance

AUDIO & VIDEO RECORDINGS


SUMMARY

In this meeting, trade relations between China, the United States, and the European Union were discussed.

The panel explored principles of cooperation in global governance and international trade, particularly between the US, the EU and China. Interdependence was viewed as an essential objective, not only for economic growth, but for peace. China and the European Union share the common objective of peace, and the panel agreed that rules-based global trade, particularly through the WTO, could lead to prosperity for all. Although it is unclear as to what the future holds, the panel concluded that communication and exchange is essential between China and the EU.

Participants assessed US motives for current trade aggressiveness. They examined China’s steady rise, and considered that the US may have seen this rise as a threatening disruption of the status quo. The US responded aggressively to China’s increase in power with tariffs, prompting a trade war. These actions by the US could be an attempt to isolate and contain China and weaken US dependence upon it.

Accordingly, participants discussed the need for the rest of the world to work to facilitate and liberate trade in order to counterbalance the loss caused by US unilateralism. In particular, China and the EU could work to quicken and facilitate their bilateral investment agreement negotiations. The European Union’s investments in China last year were roughly 3% of what was invested into the US. Figures show that EU investment into China is decreasing.

Thus, the panel examined the state of the Chinese market and its accessibility to foreigners. China has made steps to opening its market to foreigners, but European businesses haven’t seemed to give much of a reaction to it. Participants debated the idea that China must create a market environment that entices European businesses. Some participants argued that the strong hand of the state in the Chinese economy and the lack of transparency have made it difficult for foreign investors to operate in China, and that European investors need a more level playing field between foreign and domestic operators in the Chinese market. The panel debated upon the importance for China to show more concrete measures of reform on state interference in the economy, particularly in the role of state-owned enterprises. Debate upon the definition of a state-owned enterprise ensued.

The panel agreed upon the conclusion that cooperation in trade relations between the EU and China will lead to peace and prosperity.

Event notes by Bowen Call

Schedule

Sep 17, 2018

9:30-10:00

Check-in

10:00-10:10

Welcome

Wei Jianguo, Vice Chairman, Chinese Center for International Economic Exchanges

Guntram B. Wolff, Director

10:10-10:20

Opening remarks

Herman Van Rompuy, Former President of the European Council and Prime Minister of Belgium

Zhou Xiaochuan, President, China Society for Finance and Banking Adviser, China Center for International Economic Exchanges

10:20-11:20

Kick-off presentations

Chair: Guntram B. Wolff, Director

Miguel Ceballos Barón, Deputy Head, Cabinet of EU Commissioner Cecilia Malmström

Alicia García-Herrero, Senior Fellow

Ruan Zongze, Executive Vice President, CIIS

Zhang Yansheng, Principal Researcher, China Center for International Economic Exchanges

11:20-12:40

Round-table discussion and Q&A

Chair: Guntram B. Wolff, Director

12:40-13:00

Closing remarks

André Sapir, Senior Fellow

Zhang Weiwei, Director, The China Institute of Fudan University

13:00-13:30

Lunch

13:30

End

Speakers

Miguel Ceballos Barón

Deputy Head, Cabinet of EU Commissioner Cecilia Malmström

Alicia García-Herrero

Senior Fellow

Wei Jianguo

Vice Chairman, Chinese Center for International Economic Exchanges

André Sapir

Senior Fellow

Herman Van Rompuy

Former President of the European Council and Prime Minister of Belgium

Zhang Weiwei

Director, The China Institute of Fudan University

Guntram B. Wolff

Director

Zhou Xiaochuan

President, China Society for Finance and Banking Adviser, China Center for International Economic Exchanges

Zhang Yansheng

Principal Researcher, China Center for International Economic Exchanges

Ruan Zongze

Executive Vice President, CIIS

Location & Contact

Bruegel, Rue de la Charité 33, 1210 Brussels

Katja Knezevic

katja.knezevic@bruegel.org

Read article Download PDF More on this topic

External Publication

Europe – the global centre for excellent research

This report, requested by the European Parliament's Committee on Industry, Research and Energy, analyses the EU’s potential to be a global centre of excellence for research as a driver of its future growth in a complex global S&T landscape, and how EU public resources can contribute to this.

By: Michael Baltensperger and Reinhilde Veugelers Topic: Innovation & Competition Policy Date: May 22, 2019
Read about event More on this topic

Upcoming Event

Jun
11
08:30

EU-LAC Economic Forum 2019: New perspectives in turbulent times

The third edition of the EU-LAC Economic Forum.

Speakers: Diego Acosta Arcarazo, Ignacio Corlazzoli, Maria Demertzis, Alicia García-Herrero, Carmen González Enríquez, Bert Hoffmann, Edita Hrdá, Matthias Jorgensen, Juan Jung, Tobias Lenz, Carlos Malamud, J. Scott Marcus, Elena Pisonero, Charles Powell, Belén Romana, Andrés Velasco and Guntram B. Wolff Topic: Global Economics & Governance Location: Bruegel, Rue de la Charité 33, 1210 Brussels
Read article More on this topic

Blog Post

India in 2024: Narendra Modi once more, but to what end?

Even with the recent economic slowdown, India still boasts Asia’s fastest growing economy in 2018. But beneath the veneer of impressive GDP expansion, uneasiness about India’s economic model clearly tempers enthusiasm.

By: Alicia García-Herrero and Trinh Nguyen Topic: Global Economics & Governance Date: May 17, 2019
Read article More on this topic More by this author

Blog Post

What is in store for the EU’s trade relationship with the US ?

If faced with a resurgent President Trump after the next US election, the EU will have some difficult decisions to make as it is compelled to enter a one-sided negotiation. Failure to strike a deal will imperil the world’s largest trade relationship and contribute to the progressive unravelling of the rules enshrined in the World Trade Organization – although the changes required of Europe by Trump’s demands may ultimately turn out to be in the interest of Europeans.

By: Uri Dadush Topic: Global Economics & Governance Date: May 16, 2019
Read about event More on this topic

Past Event

Past Event

How do national energy policies fit into EU decarbonisation plans?

Through considering several different national perspectives, we discuss how to reconcile the EU Climate Strategy targets with national energy and climate policies.

Speakers: Aleksandra Gawlikowska-Fyk, Christian von Hirschhausen, Carole Mathieu and Georg Zachmann Topic: Energy & Climate Location: Bruegel, Rue de la Charité 33, 1210 Brussels Date: May 15, 2019
Read article More on this topic More by this author

Podcast

Podcast

Director's Cut: Evolution of US-China relations amid trade-tariff conflict

Bruegel director Guntram Wolff and Bruegel fellow Uri Dadush welcome William Alan Reinsch, senior adviser and Scholl chair in international business at the Center for Strategic and International Studies, for a discussion of how China-US relations are developing in the context of unfolding trade war.

By: The Sound of Economics Topic: Global Economics & Governance Date: May 14, 2019
Read article More on this topic More by this author

Blog Post

Implications of the escalating China-US trade dispute

If allowed to escalate, the trade dispute between China and the United States will significantly increase the likelihood of a global protectionist surge and a collapse in the rules-based international trading system. Here the author assesses the specific impacts on the Chinese and US economies, as well as the strategic problems this dispute poses for Europe.

By: Uri Dadush Topic: Global Economics & Governance Date: May 14, 2019
Read article More on this topic

Opinion

Will China’s trade war with the US end like that of Japan in the 1980s?

The outcome of the US-China trade war is anticipated to be quite different from the experience of Japan in the 1980s and 1990s, due to China’s relatively lower dependence on the US and having learned from the Japanese experience.

By: Alicia García-Herrero and Kohei Iwahara Topic: Global Economics & Governance Date: May 13, 2019
Read article More on this topic More by this author

Opinion

Trade war: Is the U.S. panicking due to China's big hedge?

U.S.-China trade war has suddenly taken centre stage following Donald Trump’s unexpected announcement to ramp up tariffs if no deal is reached. U.S. is in desperate need for a comprehensive victory, and China is ready to make concessions, but not to the extent of transforming its state-led economic model into a market-based economy.

By: Alicia García-Herrero Topic: Global Economics & Governance Date: May 9, 2019
Read article More by this author

Blog Post

Spitzenkandidaten visions for the future of Europe's economy

What are the different political visions for the future of Europe’s economy? Bruegel and the Financial Times organised a debate series with lead candidates from six political parties in the run-up to the 2019 European elections.

By: Giuseppe Porcaro Topic: European Macroeconomics & Governance, Global Economics & Governance, Innovation & Competition Policy Date: May 8, 2019
Read article More on this topic More by this author

Blog Post

All eyes on the Fed

Last week the US Federal Reserve left the federal funds rate unchanged and lowered the interest rate on excess reserves. We review economists’ recent views on the monetary policy conduct and priorities of the United States’ central bank system.

By: Inês Goncalves Raposo Topic: Global Economics & Governance Date: May 6, 2019
Read article More on this topic More by this author

Opinion

When facts change, change the pact

“When facts change, I change my mind,” John Maynard Keynes famously said. With long-term interest rates currently near zero, the European Union should reform its fiscal framework to allow member states to increase their debt-financed public investments.

By: Jean Pisani-Ferry Topic: European Macroeconomics & Governance Date: May 1, 2019
Load more posts