onsdag 24. mars 2021

China may just have doomed its trade deal with Europe

China and the European Union rang in the new year by striking a major investment deal intended to strengthen their trade ties. A contentious spat over human rights could now doom the agreement. The European Union joined the United States and United Kingdom this week in punishing Chinese officials with sanctions over alleged human rights abuses in the country's Xinjiang region. Beijing fired back with sanctions of its own on 10 EU politicians, including members of parliament and four entities, for "maliciously spreading lies."

Valdis Dombrovskis, the European Union trade commissioner, said the fate of the investment agreement, which has not yet been ratified by the European Parliament, is now in doubt. "China's retaliatory sanctions are regrettable and unacceptable," Dombrovskis told the Financial Times in remarks confirmed by his spokesperson. "The prospects for ... ratification will depend on how the situation evolves."