Air begins to clear on better EU-China ties
Strained relations between China and the European Union have for years included tit-for-tat sanctions over human rights concerns. So long as they remained there was little prospect of a new era in bilateral ties – a stand-off compounded by tensions over claimed industrial overcapacity in China and Russia's war with Ukraine. The chief casualty is the comprehensive agreement on investment, agreed in principle by leaders more than four years ago. The European parliament has derailed ratification in protest at sanctions.
The recent lifting of some of them by Beijing lowers just one obstacle to improved relations. But it creates a better atmosphere. Given the disruption of US President Donald Trump's global tariff war, more constructive dialogue between Europe – China's biggest trading partner – and the latter would be timely.
In that respect President Xi Jinping voiced support for closer ties with Germany and the EU as he congratulated Friedrich Merz earlier this month on becoming German chancellor. And on the eve of a visit to China by Denmark's Foreign Minister Lars Lokke Rasmussen, Xi wrote to the Danish Chamber of Commerce in China that China would remain an ideal destination for foreign investors. Xi's first letter to a foreign business community in four years, it is a form of outreach that serves to convey messages to an external audience.
It would be naive to expect improvement in China-EU relations overnight. They have some fundamental economic and political differences including trade practices and market access, not to mention tension over the Ukraine war and related European security concerns, despite Beijing's insistence it is neutral.
Nonetheless, since Trump's return, EU leaders have voiced openness to improving ties with China. Beijing's lifting of some sanctions should be a reminder to Washington that Europe is unlikely to relish fighting two trade wars and that it has other options.
It is unwise to be totally aligned with one side. The EU needs its own position. In a sense, the Chinese sanctions on European lawmakers were a reaction rather than a provocation. If the EU, on reflection, reciprocates or shows willingness to improve relations, Beijing can be expected to respond in kind.
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