China ready for closer trade cooperation with EU

China is willing to work with the European Union to further expand bilateral market access, strengthen dialogue on government procurement and export controls, and deepen collaboration along industrial and supply chains, the Ministry of Commerce said on Thursday.

"We hope the European side will approach bilateral economic and trade relations with a detached perspective, free from emotions and prejudice," He Yongqian, a spokeswoman for the ministry, said during a news conference.

Beijing and Brussels should "reduce accusations and increase communication, lessen protectionism and expand openness, minimize anxieties and maximize actions," He said, stressing that it is essential to prioritize consultation on all matters and refrain from "affixing labels".

China has demonstrated its sincerity in resolving trade frictions through dialogue and consultation while ruling on an antidumping probe initiated into imported brandy from the EU earlier this month.

Though China decided to levy duties of up to 34.9 percent for five years on brandy originating in the EU starting July 5, the nation has, at the same time, accepted the minimum price, or price undertakings, submitted by relevant EU industry associations and enterprises, the ministry said in a statement.

The ministry will not impose antidumping duties on imports that comply with the terms of the undertakings, and 34 firms have secured agreements for minimum price commitments instead of tariffs.

China does not wish to see the brandy case inflict significant losses on related European industries, and has extended goodwill to Brussels in resolving the trade disputes, said Zhou Mi, a researcher at the Chinese Academy of International Trade and Economic Cooperation.

"China views the EU as a crucial economic partner, and the price undertaking is a deliberate move by Beijing to manage trade frictions in a manner that does not undermine the overall bilateral relationship," Zhou said.

However, simple as it may sound, putting it into practice has proved challenging.

The price undertaking also serves as a solution pathway in the EU's anti-subsidy probe into Chinese electric vehicles. To this end, the Chinese industry has submitted multiple price undertaking proposals. Yet Brussels has exploited numerous technicalities to prolong the negotiations.

China has established a dedicated green channel to expedite approval of rare earth exports to European companies. Not only did Brussels fail to appreciate China's efforts, but it also leveled unfounded accusations against Beijing. Even more egregiously, the EU's excessively sluggish and procedurally convoluted approval system for high-tech export controls has severely compromised the stability of China-EU industrial and supply chains, spokeswoman He said.