The European Union and China, which had set themselves the goal of reaching an agreement by the end of 2020, are now close to reaching agreement on their future Comprehensive Agreement on Investment (CAI).
The European Commission estimates that both parties agree on 95% of the text. According to a spokesperson for the European institution, “the EU remains committed to the deadline for the end of the year, only if we have a worthwhile deal”. “We will not put the calendar ahead of the content”, he added.
The issue of workers’ rights, in particular, is still problematic. China still refuses to sign certain International Labour Organization (ILO) conventions.
According to another European source, the Commission would, however, be prepared to make progress on the agreement, despite the current Chinese position on working conditions, even if it were to include a parallel provision afterwards for China to sign the ILO conventions. “The Commission believes it is better to seal an agreement now, when China has just made concessions, rather than wait”, she said.
China has, according to several sources, taken a step forward in terms of access to its market.
The Commission is pursuing the negotiations intensively, with a meeting scheduled this week between EU Trade Commissioner Valdis Dombrovskis and his Chinese counterparts.
However, there are other elements that could suggest the negotiations might slow down. The European Parliament voted on Thursday 17 December on a resolution calling on China to stop human rights violations immediately (see EUROPE 12625/20).
For its part, the Commission on Monday 21 December published two implementing regulations authorising the opening of two investigations into the misuse of anti-dumping laws on Chinese aluminium imports. It also initiated an anti-subsidy proceeding on imports of Chinese optical fibre cables. (Original version in French by Léa Marchal)