As China’s vice premier arrives in Germany to talk free trade, some in Europe are calling for protection against Chinese imports.
CCTV’s Guy Henderson reports the story.
Follow Guy Henderson on Twitter @guyhendersonde
European businesses call for protections against Chinese importsAs China's vice premier arrives in Germany to talk free trade - calls in Europe for protection against Chinese imports. CCTV's Guy Henderson reports the story.
You might expect the Buthmann family business to be in favor of lower steel prices. But right now they won’t buy the cheapest product on the market -which is imported from China.
Many European buyers aren’t prepared to pay more to support local suppliers.
The European Union may be the second largest steel producer in the world – but the industry is in trouble. Bosses have said they can’t compete with imports from China that they say are unfairly priced. And they want protection – in the form of tariffs – to try and put a stop to them.
It’s a sticking point that comes at a potentially awkward time.
Officials from both countries at the annual “China Meets Europe” economic summit – talk of keeping free trade alive, at a time when the very foundations of globalization are being shaken.
Indeed, that’s one of the arguments used by European Union officials – likely to formally recognize China as a “market economy” early next month: in other words, a free and fair trader.
Chinese executives here believe a few outstanding issues shouldn’t stand in the way.
“Economic reform is the hallmark of the China strategy – Xi Jinxing and presidents before him – so I hope China will continue in that road. But also, with these new developments, I think China should speed up economic structural reforms and globalization, because that will provide stability for the world,” Victor Chu, the chairman of First Eastern Investment Group said.
Such a move could make imposing import tariffs more difficult.