China’s trade connection with European countries has long been discussed. The EU is China’s most crucial trading ally. China exceeded the United States as the EU’s most prominent trade partner in products in 2020. The majority of this commerce involves industrial and manufacturing items.
While the US remains the EU’s most significant supplier when commodities are considered, it cannot match China in offering the most goods and services to European countries. What else is there to say? Continue reading this article to learn more about the EU-China relationship in terms of international trade.
The trade condition in 2020
The Covid-19 pandemic had a powerful impact on many sectors of the economy. This was true of the international trading sector as well. The year 2020 affected international trade between countries, resulting in decreased imports between European countries and China in March 2020, with a minimum registered economy of € 24.7 billion.
By December 2021, though, they had recovered to € 47.9 billion. On the other hand, exports between the countries fell to their lowest level of € 14.9 billion in March 2020 and climbed to € 17.9 billion by December 2021.
Countries ranked as the world’s largest traders of goods
Since 2009, China has been the world’s most significant exporter of products, with no other country able to compete. In earlier years, China was the world’s greatest exporter at 18 per cent, followed by the EU, which contributed 15.4 per cent to the global economy, the US, which contributed 10.0 per cent, and Japan, which contributed 4.5 per cent, and Hong Kong, which contributed 3.8 per cent.
However, when looking at exporter figures, China delivered 14 per cent to the global economy and was the world’s second-largest importer, trailing the United States at 16.4 per cent, the EU at 13.4 per cent, Japan at 4.3 per cent, and the United Kingdom at 4.3 per cent.
From 2010 to 2020, the EU and China’s imports and exports of products were rated at 100. EU exports were weakest in 2010, best in 2019, and moderate in 2020. Imports to the EU were least in 2010, greatest in 2019, and are less than the previous year in 2020.
Economic dependence between both the countries
However, as the two nations’ political disagreement and market dominance develop, some aspects of their trade relations are proving a source of worry in Brussels, European cities, and Beijing. At the outset of the Covid-19 outbreak, supply-chain difficulties in Europe have fueled suspicions of excessive dependence on China.
Their relationship amid the Ukraine and Russia war
Recently, dissatisfaction with China’s perceived disinterest in Russia’s Ukraine activities has dramatically increased concerns and anxieties about Chinese objectives, compelling many in Europe to publicly prioritise socially constructed factors over simply economic and trade-centric goals. This prioritising has resulted in a worsening of China’s perception and reputation among European people.