China urges EU to take open approach to investment ties

ISTANBUL

China on Wednesday urged the European Union to adopt what it called an “open mindset” toward foreign direct investment, saying economic ties between the two sides are based on mutual benefit and complementary strengths.

“The essence of China-EU economic and trade relations lies in complementary advantages and mutual benefit and win-win outcomes,” Chinese Foreign Ministry spokesperson Guo Jiakun told a regular news conference in Beijing, according to the state-run Global Times.

Guo said the competitive edge of Chinese products does not come from subsidies but from “massive investment in research and development, full market competition, and a complete industrial chain working together.”

His remarks came a day after French President Emmanuel Macron said at the World Economic Forum in Davos, Switzerland, that Europe needs more Chinese foreign direct investment.

“China is welcome, but what we need is more Chinese foreign direct investments in Europe, in some key sectors, to contribute to our growth, to transfer some technologies, and not just to export towards Europe,” Macron said, referring to concerns over standards and subsidies.

Guo responded that Beijing has “never deliberately pursued trade surpluses” and is willing to serve not only as “the world’s factory” but also as “the world’s market.”

Bilateral trade between the EU and China, the world’s second-largest economy, reached $849.81 billion last year, according to China’s General Administration of Customs.

Guo expressed hope that Europe would take a long-term view, “meet China halfway,” and promote the sustained and healthy development of China-EU economic and trade relations.

Separately, Guo commented on China-US ties after US Trade Representative Jamieson Greer said Tuesday in Davos that another round of trade talks with China could take place ahead of a planned April meeting between US President Donald Trump and Chinese President Xi Jinping, according to Bloomberg.

While not confirming the talks, Guo said Beijing and Washington should “inject more stability and certainty into China-US economic and trade cooperation, as well as the world economy.”

Guo also criticized the European Commission, accusing it of “engaging in political manipulation under the guise of security,” following the EU’s proposal on Tuesday for a new cybersecurity package aimed at strengthening resilience and securing information and communication technology supply chains against risks from third-country suppliers.

“We urge the EU to avoid going further down the wrong path of protectionism,” Guo said. “Otherwise, China will take necessary measures to resolutely safeguard the legitimate rights and interests of Chinese enterprises.”

ISTANBUL

His remarks came a day after French President Emmanuel Macron said at the World Economic Forum in Davos, Switzerland, that Europe needs more Chinese foreign direct investment.

Guo responded that Beijing has “never deliberately pursued trade surpluses” and is willing to serve not only as “the world’s factory” but also as “the world’s market.”

Bilateral trade between the EU and China, the world’s second-largest economy, reached $849.81 billion last year, according to China’s General Administration of Customs.

Guo expressed hope that Europe would take a long-term view, “meet China halfway,” and promote the sustained and healthy development of China-EU economic and trade relations.

While not confirming the talks, Guo said Beijing and Washington should “inject more stability and certainty into China-US economic and trade cooperation, as well as the world economy.”