(Yicai) Dec. 19 -- China hopes that the European Union will work with it to uphold the important consensus reached during the China-EU leaders' meeting, according to a spokesperson for the Ministry of Commerce.

China and the EU should jointly oppose protectionism, maintain open markets, and exercise restraint and caution in the use of restrictive trade and economic tools, which will help create a fair, transparent, non-discriminatory, and predictable business environment for Chinese enterprises seeking to engage in trade and investment cooperation in Europe, He Yadong said at a press conference yesterday.

The above was He's response to questions about his view on an opinion piece by French President Emmanuel Macron about China-EU economic relations. Macron emphasized the importance of the parties rebalancing their economic relationship, or the European side would have no choice but to adopt protectionist measures.

China has always believed that the essence of China-EU economic and trade relations is complementary advantages and mutual benefit, He noted, adding that China-EU economic and trade cooperation is the result of various factors, including differences in economic development stages, industrial structures, and changes in market demand.

The EU has increased its trade restrictions against China, including initiating 12 trade remedy investigations and three foreign subsidy investigations this year and blocking several Chinese companies from participating in public procurement and greenfield investments in EU member states, He pointed out.

The European Commission has recently launched intensive Foreign Subsidies Regulation investigations into Chinese companies, including in-depth probes into CRRC and Nuctech, and has conducted on-site raids on Chinese digital platforms. These actions are deemed severe, clearly targeted, and discriminatory, and the Chinese side strongly opposes them, he stated.

"The FSR investigations seriously impact Chinese companies' investment and operations in Europe," He pointed out. "In January, the MOFCOM conducted an investigation and concluded that the EC's FSR investigations constitute trade and investment barriers, clearly pointing out issues, such as insufficient evidence for case filing, excessive law enforcement, reversed burden of proof, and lack of procedural transparency.

"These issues have not only remained unresolved but have also intensified, especially the definition of 'foreign subsidies,' which is excessively broad and vague, far exceeding the reasonable scope of international rules and common practices," He said. "This not only severely impacts the normal operations of Chinese companies in Europe but also brings uncertainty to China-EU economic and trade cooperation."

Sixty-three percent of surveyed Chinese firms in Europe said their business was directly or indirectly affected by the FSR, according to the annual flagship report released by the China Chamber of Commerce to the EU in November. Twelve percent of them experienced direct impacts, and 51 percent believe that the FSR has caused intangible damage to their business image and confidence.

He hopes the European side immediately ceases its unreasonable suppression of foreign investment enterprises, including those from China, and uses the FSR investigation tool with caution. The Chinese side is closely monitoring the relevant developments from the European side and will take necessary measures to firmly safeguard the legitimate rights and interests of Chinese enterprises, he noted.

Regarding the negotiations between China and the EU on tariffs and minimum price schemes for electric vehicles, He said that the parties are engaged in consultations. China's principles and position remain consistent, and it is willing to resolve differences through dialogue and consultation to promote the achievement of a comprehensive solution for the industry.

Editor: Futura Costaglione