European Commission - PRESS RELEASES - Press release - Frequently Asked Questions on EU-China relations

European Commission - PRESS RELEASES - Press release - Frequently Asked Questions on EU-China relations:

Why is China important for the EU, and why is the EU important for China? Over the past decade, the rise of China has happened with unprecedented speed and scale. Internally, China aims to shift away from its old economic and social model to a more balanced path of development. On the international stage China is now a heavyweight, both economically and financially. China is the EU's second biggest trading partner and, looking for a stable and legally secure environment, Europe is now the most important destination for Chinese companies' foreign direct investment. China is also ever more present in all regions of the world with regard to its international political and military presence. As a consequence, China's political, economic and social development matter to the EU more than ever. They present major opportunities for the EU, especially in creating jobs and growth in Europe, but need to be addressed in a coordinated and effective way in order to produce the best possible outcomes for both the EU and China. China matters to the EU, and the EU also matters to China. In its aim to develop into a sustainable economy, China needs to move up the value-chain and boost its domestic, consumption-driven market. Standing at this critical juncture of reforming and opening up - a process that is complex and may not always be smooth - China needs all the support it can get. Furthermore, the EU is a key partner for China with regard to trade - the EU is China's largest partner in trade, both with regard to imports and exports - and investment, as a destination and source of Foreign Direct Investment. China also stands to gain a lot from the European Union's own experience. The EU can support China's economic reform programme with its know-how and use its many dialogues with China to share ideas and experience. (...)