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Summary China’s vast yet protected home market has allowed some of its firms to acquire a scale that provides them with significant advantages when they compete in other markets. These firms are able to undercut European companies both in the EU and around the world, including in sectors key to Europe’s future economy and security, from energy to telecommunications. The EU urgently needs to incorporate the concept and reality of this ‘protected home market advantage’ into its thinking on China. Europe can defend its own industries by adopting an integrated policy approach, working with like-minded partners around the world, and even prising open closed parts of China’s domestic market.

United statesSouth koreaBruxelles capitaleCity ofUnited kingdomJanka oertelAgatha kratzInternational procurement instrumentKing college londonEuropean parliamentEuropean council on foreign relationsEuropean commissionChina railwayWorld trade organizationEuropean unionRhodium group