China and the EU: partners for mutual success

This year marks the 50th anniversary of the establishment of diplomatic relations between China and the European Union.

Over the past half-century, China-EU relations have withstood the tests of global changes and maintained a stable momentum of development.

This enduring partnership has strongly supported mutual progress and brought tangible benefits to nearly two billion people in China and Europe.

The prospects for pragmatic China-EU cooperation remain broad.

As China advances toward high-quality development and actively boosts domestic demand, European businesses are finding ample space to expand in the Chinese market.

A large number of EU companies have invested in China, witnessing the country’s reform and opening-up as well as the development of Chinese modernisation while also reaping substantial returns.

In the early 1980s, German automobile manufacturers were among the first to seize market opportunities by investing and building factories in China.

Today, brands such as BMW, Mercedes-Benz, and Volkswagen derive over 30 percent of their global sales from the Chinese market, with profits in China reaching up to 30 times those earned in their domestic markets.

In sectors such as chemicals, optics, aerospace and aviation, European products account for more than 30 percent and in some cases over 50 percent of China’s total imports.

China’s investment in Europe has entered a new stage

Since the early 2000s and accelerating after 2009, China’s cumulative investment in Europe has exceeded $100bn [€85.2bn], and annual investment flows are now roughly on par with EU investment in China.

By the end of 2023, China had established over 2,800 directly invested businesses across all 27 EU member states, employing more than 270,000 local workers.

China-EU green cooperation contributes to the economic transformation of both sides. This year marks the 10th anniversary of the Paris Agreement and the 20th anniversary of the China-EU Climate Change Partnership.

The two sides have achieved fruitful results in cooperation in areas such as environment, energy, circular economy, and water resources, effectively advancing respective green and low-carbon development while making positive contributions to global sustainable development.

In recent years, China’s electric vehicle and new energy battery industries have become key drivers of a new wave of investment in Europe, further strengthening the bonds of cooperation and injecting strong momentum into China-EU collaboration in the green and low-carbon sector.

European products such as dairy from Ireland and the Netherlands and olive oil from Spain have become part of the daily lives of Chinese consumers

China and the EU have achieved mutual success with practical cooperation delivering benefits to people on both sides.

With deeper high-level opening-up, China places greater emphasis on meeting the growing needs of its people for a better life.

European products such as dairy from Ireland and the Netherlands and olive oil from Spain have become part of the daily lives of Chinese consumers.

The “From French farms to Chinese tables” initiative has become a signature of China-France cooperation, enriching Chinese palates while delivering tangible benefits to French farmers.

The China-EU Geographical Indications (GI) Agreement is the first comprehensive and high-level bilateral agreement on GI protection that China has signed, marking a milestone in China-EU cooperation on intellectual property rights.

Since its entry into force, premium products like Anji white tea, Jinhua ham, Zhouzhi kiwifruit, and French champagne have entered each other’s markets, helping preserve cultural and natural heritage and injecting new momentum into deeper China-EU collaboration.

As of June this year, the China-Europe Railway Express had operated over 110,000 trips, transporting goods worth more than $450bn and connecting 229 cities across 26 European countries, significantly enhancing connectivity across the Eurasian continent.