EU tells China to open its markets following virtual summit

EU leaders have told Chinese President Xi Jinping to open up the country's markets, respect minorities and end the crackdown in Hong Kong following yesterday's virtual summit.

The video conference, which saw President Xi meet with European Commission President Ursula von der Leyen, President of the European Council Charles Michel, and German Chancellor Angela Merkel, saw the two sides agree to accelerate negotiations to complete a long-standing investment deal.

However, the European leaders told President Xi that the EU would no longer be taken advantage of in terms of trade and demanded a more reciprocal relationship.

“Europe is a player, not a playing field,” European Council President Charles Michel told reporters with reference to the growing feeling in the EU that China has not been keeping its promises to engage in fair and free trade.

The EU is China's top trading partner, with over €1 billion every day flowing between the two in bilateral trade. China is second only to the US as a market for its goods and services. 

"In the last 15 years, China has become much stronger economically and this means that the demand for reciprocity — for a level playing field — is of course very justified today," said German Chancellor Angela Merkel to a virtual press conference.

"We must move forward on the investment agreement and strengthen our strategic cooperation in climate protection. Cooperation with China in general should be based on certain principles, such as reciprocity and fair competition," she continued, adding that "multilateralism is based on rules."

The Chinese President did not take part in the post-summit news conference and no joint statement was released. There were reports, however, from state-owned Xinhua News Agency that Xi strongly rejected any external interference in Chinese affairs, especially over the issue of human rights, shrugging off any criticism of Beijing's policies in Hong Kong and Xinjiang as "lecturing".

“There is no universal path for human rights development, and no single best way to protect human rights,” Xi told the EU leaders. “I believe Europe could find good solutions to its own problems. China doesn’t accept a lecturer on human rights.”

Since 2013, both sides have been engaged in negotiations on a bilateral agreement that would lessen restrictions on European companies operating in China. 

In April 2019, after the conclusion of the last EU-China summit, both sides agreed on a target date of the end of 2020 to reach an "ambitious" investment deal.

However, the relationship between the two have been further strained this year after allegations of Chinese disinformation over the coronavirus, the national security law that Beijing has imposed on Hong Kong, and by the ramping up in Europe of efforts to protect domestic manufacturers from foreign competition.

Nonetheless, the EU is keen to show the economic benefits reaped by a less confrontational policy approach towards China than that of the current administration in the US. Despite the mutually critical remarks, the two sides signed a deal for the mutual protection of exported food and beverage items. Hailed as a major victory for the EU, the deal means that producers in third countries like the US and Australia can no longer use protected European food names when exporting to China.

"Engagement at the highest level with China is crucial if we are to promote European economic interests, protect our climate and defend fundamental values and rights," said European Commission President Ursula von der Leyen. "We are really serious about having access to the Chinese market."

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