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EU-China Economic Relations: Interactions and Barriers

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  • Lu, Zheng

Abstract

EU-China economic interactions became more and more frequent in the past decades, nowadays EU and China are main trade partner for each other. This paper analyzed EU-China economic interactions from three dimensions: bilateral governmental interactions, trade and investment flows as well as barriers to trade and investment. Findings show that EU-China close relationship is particularly based on goods trade especially on intra-industrial trade of manufacturing industrial products, and trade imbalance is arising from trade in Machinery and Transport Equipment and Other Manufactured Goods (e.g., Clothing and clothing accessories); This paper also found that there exist a myriad of trade and investment barriers to EU-China interactions, including both tariff and non-tariff obstacles. Therefore, this paper argued that if EU and China want to handle the trade imbalance efficiently, they must improve composition of trade in goods, while essentially, it requires lessening or eliminating EU-China trade barriers which hampered trade composition improvement.

Suggested Citation

  • Lu, Zheng, 2012. "EU-China Economic Relations: Interactions and Barriers," MPRA Paper 40646, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:40646
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    References listed on IDEAS

    as
    1. Kasteng, Jonas, 2012. "Paving the Way for Unfair Competition: The Imposition of EU Anti-Dumping Duties on Ceramic Tiles from China," MPRA Paper 37133, University Library of Munich, Germany.
    2. Lorca-Susino, Maria, 2006. "The EU-China Trading-Economic Relationship Is Not a Zero-Sum Game," MPRA Paper 7951, University Library of Munich, Germany.
    3. Paul Brenton & John Sheehy & Marc Vancauteren, 2014. "Technical Barriers to Trade in the European Union: Importance for Accession Countries," World Scientific Book Chapters, in: INTERNATIONAL TRADE, DISTRIBUTION AND DEVELOPMENT Empirical Studies of Trade Policies, chapter 6, pages 105-124, World Scientific Publishing Co. Pte. Ltd..
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    More about this item

    Keywords

    EU-China Relations; Trade; Trade Barriers; FDI;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F59 - International Economics - - International Relations, National Security, and International Political Economy - - - Other

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