China’s overall concessions in the CAI have so far fallen short of the EU's expectations. Apparently, Beijing will not move sufficiently on the issue of competitive distortions without more negotiation pressure.
External Publication
For a More Robust Approach Towards China in European Trade and Investment Policy
For a More Robust Approach Towards China in European Trade and Investment Policy
German Economic Institute (IW)
China’s overall concessions in the CAI have so far fallen short of the EU's expectations. Apparently, Beijing will not move sufficiently on the issue of competitive distortions without more negotiation pressure.
The EU should therefore choose a more robust approach and align even more with the US in this respect. More concretely, Brussels also needs to take unilateral action - in order to increase China’s incentives to engage, but also to prepare for a further increase in the global spillover of Chinese competitive distortions. However, in contrast to the US approach, European unilateral actions have to remain within the remit of WTO rules.
More on the topic
Read the article External Publication 9. April 2024
China’s Trade Surplus – Implications for the World and for Europe
China’s merchandise trade surplus has reached an all-time high and is likely to rise further. A key driver appears to be a policy push to further bolster Chinese domestic manufacturing production, implying the danger of significant overcapacities.
IW
Read the article IW-Report No. 14 4. March 2024
What if Trump is re-elected?
A possible re-election of Donald Trump as US president in November 2024 could entail a significant upheaval for the world trading order, if he fulfills his announcements to raise tariffs, mainly in order to reduce the US trade deficit.
IW