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EU-CHINA TENSIONS SIMPLIFIER



  Jun 28, 2024

EU-CHINA TENSIONS SIMPLIFIER



Current State of Relations:

• The EU and China have strong economic ties but face significant political and strategic disagreements. Trade is a major component, but issues like human rights, technology transfer, and regional security create friction.

Mutual Expectations:

• The EU expects China to adhere to international norms, improve market access, and address human rights concerns.

• China expects the EU to recognize its economic rise and refrain from aligning too closely with US policies that counter China’s interests.

Opportunities:

• Economic cooperation in areas like green technology, infrastructure, electric vehicles (EV), and digitalization can benefit both the EU and China.

• Both sides can work together on global issues like climate change and pandemic responses.

Threats:

• Strategic competition in regions like Africa and Asia.

• Potential conflicts over technology, such as 5G and cybersecurity.

• Overcapacity in Chinese industries leading to trade imbalances.

• Human rights issues, especially regarding Xinjiang and Hong Kong, can lead to sanctions and further strain relations.

Responses and Issues:

• The EU is increasing its defense capabilities and seeking to reduce dependency on Chinese technology.

• China is strengthening its ties with other regions, such as Africa and Latin America, to counterbalance EU influence.

• Both sides are navigating complex trade negotiations and geopolitical alliances to protect their interests.

• Trade wars and tariffs are significant issues, impacting industries and economies on both sides.

• The Russia factor complicates EU-China relations, with Russia’s actions in Ukraine and its alliances affecting the geopolitical landscape.




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