觀點中國經濟

Europe risks being squeezed between Washington and Beijing

Protectionism à la Donald Trump is a dead end. Nobody really believes that tariff barriers can reduce a trade deficit. Yet the EU finds itself in a quandary: if rising economies, particularly China, are making inroads into European markets, how can the continent protect itself without indulging in protectionism?

The EU needs to rebalance its economic relations with China, where there is currently a flagrant lack of reciprocity. While China maintains a largely open market for goods, it is less open for services and even less for investment.

Now, China certainly does not flout the rules of the World Trade Organization. But its defence of the status quo at the WTO is unacceptable to Europe since the rules that prevailed when Beijing joined in late 2001 no longer hold.

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