cover image: Is the European Union’s investment agreement with China underrated? - Executive summary

20.500.12592/m0w3kn

Is the European Union’s investment agreement with China underrated? - Executive summary

13 Apr 2021

Restrictiveness in Given the imbalance between the EU and China in terms of investment openness, the EU China is most notable has long sought to improve the situation for its companies operating or wanting to operate in the services sector; in China. [...] We do not mean to overlook the potential economic implications of increased investment in Europe by Chinese firms in the wake of the CAI, but we recognise that, since EU markets are already largely open to Chinese investment, the most likely and largest source of gains for the EU will derive from the new opportunities in China. [...] It is also instructive to compare the CAI to the WTO subsidy reforms proposed in January 2020 by the EU as a member of the Trilateral Group, which includes Japan and the United States. [...] The implicit reference to China is clearest in the Trilateral Group’s proposal to change the way subsidies are calcu- lated, namely, to replace the use of domestic prices with appropriate benchmarks when the market of the subsidising member is distorted. [...] If the panel rules in favour of the complainant and the respondent fails to abide by the decision of the panel and remove the disputed measure within a reasonable period of time, the complaining party may retaliate by adopting an equivalent measure.
Pages
14
Published in
Belgium

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