Published: 10:51, December 10, 2024 | Updated: 15:04, December 10, 2024
Chinese firms call for fair, open EU market environment
By Xinhua
(PHOTO / IC)

BRUSSELS - Chinese businesses in the EU have called for a fair, transparent and predictable market environment amid growing concerns over a deteriorating business climate in the bloc, according to a report released on Monday by the China Chamber of Commerce to the EU (CCCEU) and global consultancy Roland Berger.

"There is a continued deterioration in the business environment for Chinese enterprises in the EU, with overall ratings falling for the fifth year in a row," the CCCEU highlighted in the report.

In 2024, Chinese firms rated the EU's business environment at 62 points, down sharply from 73 in 2019, the report showed. Survey data also shows that 68 percent of Chinese enterprises believe the business environment has worsened over the past year, with over half claiming the EU market is no longer "fair and open".

READ MORE: China urges EU to avoid abusing trade remedy measures

Uncertainty has emerged as a defining factor in this year's report, with 78 percent of surveyed Chinese firms citing it as their primary operational challenge. Rising compliance costs and changing political trend are also significant factors affecting Chinese enterprises in the EU.

Notably, 64 percent reported experiencing "differentiated treatment" due to their Chinese origin, including restricted access to public procurement, challenges in market entry and competition, longer approval processes, and limited communication channels with local governments. 

The report also said ninety percent of surveyed Chinese firms say that the adverse effects of EU policies focused on "economic security" and "de-risking" are undermining business confidence.

READ MORE: MOC: China-EU price commitment talks continue, show progress

In sectors such as electric vehicles, anti-subsidy investigations have prompted over 30 percent of firms to adjust their investment plans, the report said.

Despite the challenges, Chinese firms expressed cautious optimism about the EU market. Around 21 percent of the surveyed companies consider the EU their most important market outside China, and 66 percent expect its strategic importance to grow over the next one to three years.

A ship is loaded with electric cars for export at Taicang Port in Suzhou, Jiangsu province, on Jan 24, 2024. (PROVIDED TO CHINA DAILY)

More than half of respondents remain positive about the medium- to long-term prospects for China-EU trade and economic relations, particularly in areas like green cooperation. Enhanced collaboration, they said, could accelerate the EU's digital transition, advance AI applications, and strengthen industrial supply chain complementarities.

ALSO READ: Experts encourage more China, EU dialogue to resolve EV tariff issue

Noting that the EU and China remain important to each other amidst geopolitical shockwaves, Denis Depoux, global managing director at Roland Berger, said it is hoped both sides could understand each other's concerns and drive the resolution of some issues through new strategies and rebalanced environments.

Chairman of the CCCEU, Liu Jiandong, highlighted the strong economic ties between China and the EU, with daily trade exceeding 2 billion euros ($2.11 billion) in 2024. At Monday's event, he emphasized Chinese firms' contributions to EU tax revenue, job creation, and innovation through research, design, and production facilities across the region.

"With the 50th anniversary of China-EU diplomatic relations approaching in 2025, we are willing to join hands with European partners to inject new vitality and momentum into the long-term development of China-EU relations," Liu added.