"Foreword" [2018] ELECD 1614; in Chaisse, Julien (ed), "China-European Union Investment Relationships" (Edward Elgar Publishing, 2018) xvii

Book Title: China-European Union Investment Relationships

Editor(s): Chaisse, Julien

Publisher: Edward Elgar Publishing

ISBN: 9781788971898

Section Title: Foreword

Number of pages: 2

Extract:

Foreword China's outbound FDI in the EU has surged over the past years. This new phenomenon has triggered contentious responses among European policymakers, the business community, scholars and the society at large. On the positive side, there is a recognition that Chinese investment projects contribute to creating more jobs, generating needed tax revenues, and providing European companies with new market opportunities, etc. Nevertheless, some point out doubts and concerns on national security risks, the loss of technology leadership and industrial competitiveness, and even downgrading of European societal values. A few sensitive take-overs, such as Chinese company Midea's acquisition of German robotics firm Kuka, and the China Ocean Shipping Company's (Cosco) acquisition of Athens' Piraeus Port, have heated up a public debate, and resulted in a number of European governments amending their legislations to strengthen foreign investment screening mechanisms. The EU is also speeding up its law-making process in introducing a regulation establishing a legal framework for screening of FDI into the EU. Despite these mixed responses, China's outbound investment in Europe continues to grow and reached its record high in 2017. On the side of China, a number of liberalized FDI regulatory measures have been taken, demonstrating the Chinese government's determination to relax its regulatory regime on foreign investment. Starting with the Shanghai Pilot Free Trade Zone set up in 2013, a new system of pre-establishment national treatment with a negative list is now implemented nation-wide. This fundamentally modified China's ...