Evolution of the relationship between the EU and China - Research Paper Example

College: Relationship between the EU and China Introduction The relationship between European Union (EU) and China brings together some two unique partners. Major variations are so evident in their political structures. EU has sui generis, a multi-level institution of governance with partially shared sovereignty, which is expanding continuously and presently has a membership of 27 nation states. China, on the other hand, is centrally administered, semi-authoritarian nation of over 30 sub-national units with about 1.3 billion inhabitants and paying traditionally immense attention towards maintenance of its geographical unity. Given that the partners share no geographical borders, and against this background, enlargements of EU have no potential of challenging the immediate Chinese sphere of influence, like for Russia. In essence, the partners have no cultural roots, common language, values, or belief, which bind them together like in North-Atlantic region, which has different forms of integration and cooperation (Stepan & Ostermann 19). EU-China relationship, over the last thirty years, has developed steadily, since the establishment of formal relations between EU and China in 1975. The formal relations were facilitated by the US recognition of Beijing diplomatically in 1972. Sino-European relations, during the era of the Cold War, were generally derivative of the imperatives of the cold war as well as the broader associations with the superpowers. Because of the ideological and political constraints of this era, the development of commercial and economic relations took the precedence (UN 7). On April 3, 1978, a trade agreement was signed between China and the European Community (EC). This agreement was extended in 1985 to a wider Trade and Cooperation Agreement (TCA). China got the status of Most Favored Nation (MFN) from the EC and embraced Beijing in the GSP (Generalized System of Preferences) provisions from 1980 (Stepan & Ostermann 20). These European Union-China relations, in the past few years, have been growing gradually. Since 2004, the People’s Republic of China has become EU’s second largest trading partner, with the Chinese customs claiming that EU is the biggest trading partner of China. An annual summit between the EU and China’s state/government heads is held, since 1998, to discuss the bilateral and global issues. Moreover, since October 2003, China and EU have recognized each other as effective ‘strategic partners’. The idea that the relations between China and EU have acquired a fresh strategic significance and gained momentum remains fundamental to their strategic partnership (Pastor & Gosset 1). According to the European Union External Service Action, the two sides commenced their relationship in 1975 and the 1985’s Trade and Cooperation Agreement came into force to govern their relationship (Para 1). EU remains the largest trading partner of China, while China is its leading supplier of imports and the second biggest 2-way trading partner (European Union External Service Action Para 2). Therefore, EU and China have had bilateral relationship since 1975. The purpose of this paper is to examine the evolution of the relations between them with the main objective being examining the development of their relationship since 1975 by looking at various aspects of their association. The two sides hold annual summits as well as frequent trade, economic, and political dialogues, including more that 50 sectoral agreements and dialogues, which range from industrial policy to environmental protection, culture or education. Human rights are regularly discussed as a part of the regular political dialogue and during specific dialogues on human rights, held twice a year since 1995. This paper will also clarify that EU and China are allies but not competitors. Events (Economic and Political) Dictating their Relationship and the Key EU Policies The relations between China and the EU have faced some hardships since 2005 with some scholars expressing their deep concern regarding its future development. There are numerous conflicting and shared concerns and interests in the EU-China relations. As such, the increasing extent of interdependence as well as cooperation necessity in the strategic international affairs needs both China and the EU to establish a long-term partnership. Examination of their relations indicates that they relate for mutual benefit and thus they require maintaining a cooperative and stable partnership. EU and Chinese diplomatic relations commenced in 1975. After a number of decades of cooperation and contact, the 2003 ‘strategic partnership’ establishment brought these two much closer (Wiessala, Wilson & Taneja 41). The two sides, apart from their economic complementarity, have explored numerous common interests’ areas. However, their partnership construction has faced a number of problems. For instance, from 2005 there have been such problems as the textile disputes, failure of lifting of the arms embargo, the growing EU trade deficit with China. These problems catch the Europeans’ attention and leads to increasing pressure within the EU towards readjusting its China policy. This aims at turning the policy tougher and more protective in dealings with China (Bindi & Shapiro 21). The uneasy political relations between the two exert more pressure towards the bilateral economic cooperation. Due to such a background, Beijing convened a meeting in April 2008, which became the first High-Level Economic and Trade Dialogue. The participants in the dialogue work closely in order to find a bilateral cooperation’s breakthrough for counterbalancing the mounting European political pressure. Presently, EU-China relations have reached a hard historical period (Bomberg, Stubb & Peterson 116). As such, there is need for wisdom and joint efforts in dealing with the diverse thorny issues as well as making sure that such problems do not ultimately jeopardize their bilateral relations (France Diplomatie Para 3). The Chinese Ministry of Foreign Affairs recapitulated it relations nature with the EU and stated, “There is no fundamental conflict of interest between China and the EU and neither poses a threat to the other." (Para 4) In essence, the common ground offset any superficial disagreements, and the mutual relationship was convivial. The idea that the PRC would emerge to be an imperative partner of foreign policy emerged only pretty recently in Europe. Before 1989, China was considered a second-tier regional actor. Actually, only since late 1990s has the European interest in the closer political collaboration with China increased to flourish into what it is today. This interest is attributed to several factors. One is the growth of China as a leading economic power. Second is the rise of China as a key raw materials’ importer made it an EU’s competitor. Thirdly is the interest of the EU in partaking in the multilateral arrangements of trade in a progressively more global risk world. Fourth factor is that the concern of EU over China’s potential protectionism as well as the effects this could have upon bilateral trade. Fifth is the notion that the size of China offers its domestic policies some global importance (Wiessala, Wilson & Taneja 41). Therefore, the EU recognized the increasingly imperative role of China on global stage as well as the inherent value of China in being a significant consuming and producing country. Despite a number of disagreements over the embrace of the repressive regimes like Zimbabwe and Sudan by China, there exist no overt interest’s conflict between EU and China. Moreover, this is not considered a threat towards the other (Bomberg, Stubb & Peterson 116). The European Union External Action claims that the chief goals of the European Union towards China, as reflected in its aid to China include engaging China further, on the global stage and bilaterally, via an improved political dialogue. The EU’s policy also seeks to encourage China’s integration into the global economy via bringing it into the global trading system fully, as well as supporting China’s processes of social and economic reform. Another factor is that EU aims at supporting China in its transition into an open society founded on respect for the human rights and rule of law. Finally, the EU aims at raising its profile in China (Para 3). Historical Events Showing Clear Policies Application The relationship between China and the EU has been greatly shaped by the past historical encounters, their contemporary political system’s nature, and their international system’s interest. This is captured by their complex perceptions about each other, which affect the latent for development of further comprehensive relationship. EU’s vision concerning its global role as a modern actor dedicated towards supporting development of democracy, rule of law, good governance, as well as human rights’ respect. The EU’s ‘European Security Strategy’ of 2003 made a commitment towards the development of strategic partnerships with various nations, including China, dazzling its desire of strengthening its international affairs’ role (Wiessala, Wilson & Taneja 41). Between China and EU, the direct cooperation motivation comes from economic benefits’ expectations. Since the economic reforms carried out in 1978 in China, the 2-way trade operations between China and EU has been increasing at an amazing speed. The EU is, by far, Chinese biggest trading partner, biggest high-tech exporter, as well as one of the leading investors. The PRC is the second biggest trading partner of the EU and the biggest supplier. The extent of their interdependence is very high in such a way that two sides have been closely tied together. The economy of China would otherwise be in much hardships if the European Union closed its market against the Chinese products. EU would suffer equally in terms of economical damage if its trade relation with the PRC were interrupted (Pastor & Gosset 1). The extent of opening of the markets of the EU is generally higher than Chinese market opening. The EU, facing the domestic development stress, has the eagerness of seeing China getting more open. In real sense, this conforms to the national interests of China. Hu Jintao, in the National Part Congress 17th report stated, “Reform and opening up constitute the most salient feature of the new period.” (Men 7) Due to opening up and reform, China is well positioned in the East and is oriented towards modernization, world, as well as the future. The facts have proved incontrovertibly that the decision of beginning reform as well as opening up is crucial towards the contemporary China destiny. This implies that opening up and reforms are key aspects of rejuvenating the nation of China. This report gives an imperative message towards he world: China endorses open door policy. Europeans should relax since the opening extent of China will only rise. EU and china, in the short-run, may have variations about the scope and speed of the Chinese market openness but this should have no role in damaging their bilateral cooperation. The two can achieve maximum benefits only through engaging in a long-term partnership construction. While China and the EU share a common long-term interest in the pursuance of influence and prosperity, the two diverge on the way of reaching such an objective. The discrepancy is because of the fact that China and EU are very varied partners. First, they both come from varied ideological backgrounds. This variation is highly compounded by the reality that China and the EU are at varied development levels. The greatly developed economy due to numerous years of capitalist development and state building permits the European Union focus to be on political freedom, as well as attaching much significance towards its citizens civil rights. Contrary to this, China became independent towards the latter years of 1940s but still targets solving her economic issues to ensure that all Chinese have adequate to wear and eat. Consequently, China emphasizes more rights of development of its citizens a factor that fails the expectations of the EU to an extent. Due to the pride in its development path, EU expects exerting influence on the PRC as well as turning it into liberal democratic regime, which is founded on rule of law. Nevertheless, EU’s contact with China seems to tell Europeans that transformation of this large authoritarian system is quite demanding. The disappointment in the political development of China adds to the EU’s frustration about its trade deficit. The criticism waged against China in terms of her slow political reform pace, human rights record, lack of military expenditure transparency, as well as market access restriction dominate European media, which unearths the issues of bilateral relations. Is China an Ally or Competitor to the EU? The Chinese rise as an economic power seems as both a challenge and opportunity for the EU. Even as the EU plan lifting the arms embargo against China due to its consideration of Chinese market as a new opportunity, ‘bras war’ illustrates the Chinese power as a global emergent workshop. The complexity engrossed in handling of the relations between EU and China on European side is evidenced in lack of consistency is the European Union’s institutions in definition of its mutual relations with China. Irrespective of the description of its mutual relations with China, the EU is somewhat convinced that their relationship is not of strategic competitiveness since they lack strategic areas of contest. Beijing reiterates this fact by stating, “There is no fundamental conflict of interest between China and the EU and neither side poses a threat to the other’ (Chinese Ministry of Foreign Affairs, Para 2). Through its policy documents, the EU shares these sentiments and perceives their relationship as a ‘comprehensive partnership’, ‘long term relationship’, ‘enduring and strategic relationship’, and ‘maturing relationship’. Actually, ‘partnership’ is a term used widely by both the Chinese and European authorities in their description of their mutual relations. The ‘partnership’ relation between EU and China varies from ‘strategic competitor’ employed by George W Bush administration, as it perceived China as a mere emergent competitor in both international trade and geopolitics (Bindi & Shapiro 21). Between these two partners, there exist both conflicting and overlapping interests. Since both the EU and PRC are raising powers, the requisite of coordination and cooperation in significant mutual concern international dealings serve as basis of their strategic partnership. Their economic cooperation permits the two blocks to work harmoniously for material benefit, though the variations in their value beliefs and political regimes as well as the relative gains’ calculation give rise to troubles in their bilateral relations (Great Britain 5). The EU’s internal nature of being both an intergovernmental organization and supranational entity has made the relations between China and the EU more complex than any mutual relations between 2 nation states. While the supranational China policy of the EU is vital, it is entangled with bilateral relations of China with individual member states. Due to the diversified, and regularly conflicting, economic and political agendas of member states, the EU-China relations are rendered less severe than intended to be (Bindi & Shapiro 21). European diplomacy to China has centered too much on the national commercial interests for a long time (Crossick, Cameron & Berkofsky 39). From Chinese view point, China cannot afford the devotion of all its diplomatic and policy resources towards the development of the supranational aspect of her relations with EU. Both ‘bras war’ and arms embargo case demonstrate that member state level voices are equally important like the strategies and policies at European stage in determination of the external relations with EU and China must tread cautiously in the EU politics maze. The Role of the EU in Discussion of the Sensitive Topics Tibet Issue: China is highly appreciative of the commitment of the European Union towards the principle of one-China concerning Taiwan. However, Tibet persists being a concentration point. The EU has appointed a European Union Tibetan Affairs Special Coordinator as a vital step for an effective and sustained role for the EU in helping in resolution of Tibetan issue peacefully. The core EU’s Tibetan affairs Special Coordinator’s objective is promoting substantive negotiations and dialogues between the PRC’s government and His Holiness Dalai Lama and/or his representatives (Gyaltsen Para 3-4). Human Rights: The human rights are arguably the most sensitive element of the relationship between EU and China. EU’s commitment is promotion of rule of law as well as respect for the human rights within its international interactions (Bomberg et al 202). A decree condemning the PRC came within a single vote of adoption at the 1995 UN Human Rights Commission. The European Parliament (EP) continues being a forum in which the rights related issues of China are debated. Year 1995 also witnessed the establishment of an official EU-China Human Rights Dialogue, whose creation promoted the desire of promoting change through the understanding that engaging China via dialogue and discussion is better than trying forcing change via pressure and coercion (Breslin Para 2). The European Union’s commitment on foreign policy outlook is very strong as reflected by its various enlargement negotiations with its accession states. In Chinese case, the EU has altered its position from the one of being openly critical towards China to the one of making efforts of engaging China on this tricky issue. European Union holds that it has the capacity of achieving change via human rights dialogue (Men & Balducci 29). Arm Embargo: A difficult issue between EU and China is arms embargo, which was imposed by Western nations in 1989 against People’s Republic of China under the US leadership. Since late 2003, the arms embargo lifting has been a major discussion topic within the EU. The European Union, led by Germany and France, agreed on a new conduct convention, regulating the European weapons’ deliveries to Beijing. This convention is being prepared as a replacement of the arms embargo against China. In 2004, the deliberations between China and the leading EU member states’ leaders seemed to facilitate a sooner lifting of the embargo. Leaders from Europe gave an oral assurance to the Chinese government that this bilateral hitch would most probably be resolved by June 2005. What happened, however, in the commencement of 2005, pressed these developments towards a contrary direction (United States 17). This issue became hard because of the US interference. The arms embargo, instead of being a mutual issue, turns of being a significant concern for 3 parties. EU faces a hard situation due to the US pressure as well as its commitment towards the ban lifting on China. Washington insisted on the maintenance of the arms embargo by the EU and threatened cutting off the American military technology transfers to Europe (Bindi & Shapiro 21). Robert Zoellick, the US Deputy of State, warned the European Union officials that in case the European equipment assisted in killing Americans in conflict, this would soil their transatlantic relationship. After the passage of the anti-secession law by China in March 2005, lifting of the embargo proved more difficult. The European Union fears to witness an increment in the Cross-Strait instability as well as the risk of a possible arms race within the Taiwan Strait. Consequently, the opposition within the EU towards listing of the ban was becoming stronger. The European Parliament, in April 2005, voted 431 against 85, with thirty-one abstentions, is support of a decree urging maintenance of the weapons embargo by the EU (Inotai 414). Consequently, the spokesperson of Luxembourg Foreign Ministry, Eldar Subasic, admitted that the position taken in various capitals minimized the chances of embargo lifting by June 2005. A number of years have gone by and it remains unclear whether the arms embargo against China will be lifted. Nonetheless, China and the EU tends to have a tacit agreement that this matter is not permitted to disturb the bilateral relations between them. Rather than accusing the other partner of misconduct, both sides have become highly practical, and have done away with the matter from the bilateral relations’ primary concerns (Bomberg et al 207). Environmental Issues: Environmental issues form a chief area of the EU-China bilateral interaction and joint interest. The European Union has supported several projects within China aimed at environmental governance improvement as well as introduction of technological advances and best practice. However, China and Europe have not managed reconciling their stances regarding key matters related to change in global environment (Breslin Para 5). Conclusion In conclusion, the relationship between EU and China is an effective bilateral association, which has profound social, economic, and political benefits, especially to China. The EU’s policy has been quite successful in this relationship and China has benefitted substantially. Their association is mostly on terms of trade as both regions are among the leading world economic powers and their relationship can only better their stand across the globe. Their relationship has faced a number of challenges in such areas as arms embargo, Tibetan issue, environmental issues, and human rights but the two sides emphasize on the need for a viable bilateral relationship. There is need for more research on the challenges faced by the two sides as well as the mechanisms employed in countering them. 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