Ursula von der Leyen: EU is concerned by “Increasing politicisation” of Chinese economy

Ursula von der Leyen: EU is concerned by “Increasing politicisation” of Chinese economy


The business community has voiced concern at the “increasing politicisation of China’s economy.”

This was the reaction to European commission head Ursula von der Leyen (pictured) saying the EU is “concerned” by “what is behind” China’s return to the global stage.

Speaking on Thursday, she said, “Defining a European strategy towards China – defining what success looks like – must start with a sober assessment of our current relations and of China’s strategic intentions.”

Her comments come in the wake of President Xi’s visit to Russia where he met Vladimir Putin.

In a long speech, she said, Our relationship with China is far too important to be put at risk by failing to clearly set the terms of a healthy engagement. It is clear that our relations have become more distant and more difficult in the last few years.

“We have seen a very deliberate hardening of China’s overall strategic posture for some time. And it has now been matched by a ratcheting up of increasingly assertive actions.”

She said there was a stark reminder of that last week in Moscow during President Xi’s state visit.

“Far from being put off by the atrocious and illegal invasion of Ukraine, President Xi is maintaining his ‘no limits friendship’ with Putin’s Russia.”

The comments on EU-China relations were made to the Mercator Institute for China Studies and the European Policy Centre.

Reacting, BusinessEurope Director General Markus J. Beyrer says: “Any new tools that can have a significant impact on EU-China trade or investment flows need to be carefully assessed and discussed with business.”

“We recognise the complexity and challenges of EU-China relations. Decoupling is not a solution to address the problems such as asymmetries in market access and the increasing politicisation of China’s economy. The EU must engage with China in areas of common interest like climate change and standardisation.

“At the same time, the EU needs to build more resilient supply chains and mitigate risk. Any new tools that can have a significant impact on EU-China trade or investment flows, in particular on outbound investment, need to be carefully assessed, and discussed with business.”

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