Fabian Demicoli

EU and China trade disputes


EU trade commissioner Karel De Gucht
has said the bloc will not back down from protecting its industries against
unfair Chinese competition, but will rely on mutual self interest to prevent a
trade war. The paper says disputes between
Brussels and Beijing have increased in recent months, with the EU bringing it
biggest ever trade case against China over European industry accusations of
solar panel dumping.

The EU is also gathering evidence for
an illegal subsidies and dumping case against Chinese telecoms companies Huawei
Technologies and ZTE.

EU diplomats say De Gucht may be using
the solar panel case in Europe as leverage in an attempt to force China's
Communist government to cut what they see as illegal telecoms subsidies and
avoid another formal trade case.

Meanwhile, the 10-member association of
southeast Asian nations (Asean) is drawing lessons from Europe as it embarks on
its own economic community. The launch of the Asean economic community,
scheduled for the final day of 2015, will be similar to the EU's single market
and Europe's experience with absorbing former eastern bloc countries could be
instructive for the region.

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