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Transatlantic Awakening: Why Europe and China are Creating a Comprehensive Agreement on Investment

Transatlantic Awakening: Why Europe and China are Creating a Comprehensive Agreement on Investment
If ratified, then the CAI will be a de facto recognition that it is acceptable to conduct a wide range of business activity with a totalitarian communist government that has proven itself capable of violating human rights with exacting precision and no apology.
After seven years of negotiations and thirty-five rounds of talks, you might say that the new EU-China Comprehensive Agreement on Investment (CAI) looks to be the best gift the EU could give to China or more accurately speaking the Chinese Communist Party (CCP).
The agreement is about market access for European companies to the Chinese market. The key goals and objectives focused on the liberalization of investment, elimination of quantitative restrictions, rules against the forced transfer of technology, new obligations about the behavior of Chinese State-Owned Enterprises (SOEs), better transparency rules for s ....

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China-EU Investment Deal Sparks Backlash Over Rights Concerns

Diplomat Risk Intelligence,
Credit: Illustration by Catherine Putz
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On December 30, 2020, leaders from China and the EU announced they had agreed in principle on the text of a long-awaited Comprehensive Agreement on Investment (CAI), after seven long years of negotiation. Meeting the end-of-2020 goal was no mean feat; as late as September 2020, after a China-EU virtual meeting, European Commission President Ursula von der Leyen cautioned that “a lot – a lot – still remains to be done” on the CAI, adding, “China has to convince us that it’s worth having an investment agreement.”
But it’s too early for negotiators to celebrate even now. The text of the CAI still needs to be finalized and undergo a legal review. Then it will have to be approved by the European Council, the heads of government of the EU’s member states. Finally, the investment deal will face what may be its steepest hurdle: approval by the European Parliament. In additio ....

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