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EU's Mandelson to meet with Chinese officials amid trade tension
2006-11-07
European Union Trade Commissioner Peter Mandelson was set to meet with Chinese officials amid growing EU impatience over the pace of China's market-opening measures. Mandelson, who has been highly critical of China's adherence to its World Trade Organization commitments, was to hold talks in the afternoon with his Chinese counterpart, Commerce Minister Bo Xilai. The two are expected to discuss a tough new EU trade policy paper that vows to drag China before the WTO in future trade disputes. While underlining the importance of economic engagement with China, Mandelson has in recent months chastised Beijing over a range of perceived trade barriers. He has called on China to further open its agricultural, banking, telecoms and other services sectors to outside competition. The focus on China's commitment to WTO rules has been sharpened as December marks the fifth anniversary of its entry into the trade body and the end of the period during which most of its concessions were to be implemented. The EU enjoyed a trade surplus with China two decades ago, but the tables have turned to a Chinese surplus that reached around 106 billion euros (135 billion dollars) in 2005, the EU's biggest bilateral trade deficit, according to the EU. Mandelson also has said China needs to remove tariffs and non-tariff procedural barriers to European imports and better protect intellectual property rights, warning that China could face a European backlash otherwise. "China has reached a stage in its development when the rest of the world is entitled to ask for more from China," he said late last month, when the new EU policy paper was released. China has so far withheld comment on the paper, saying it was still studying it. However, an EU official traveling with Mandelson said the trade chief also intends to send an "emphatic signal for partnership" to the Chinese. The official, who asked not to be named, likened Mandelson's visit to a September trip by US Treasury Secretary Henry Paulson. Paulson announced a new "strategic economic dialogue" with China that will see the two sides meet twice a year to hash out their trade differences. Mandelson's visit similarly will emphasize the importance of deep engagement with China, not just on trade but on a range of issues, the official said. "It's impossible to imagine addressing any global challenge anymore without China being part of the solution," he said. Besides his meetings with Bo, Mandelson will meet later in the week with Chinese officials charged with enforcing intellectual property rights, address a gathering that seeks to boost Chinese investment in Europe and take part in a roundtable discussion on global climate change.
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