Where is China-Eu relations headed, more cooperation or more confrontation?

The European Union has suspended its dispute with China at the World Trade Organization (WTO) over "economic coercion of Lithuania", citing "technical reasons". This is the first time the EU has pressed the "pause button" since unilaterally initiating proceedings in January 2022. But the duration of the suspension is "unclear" as the EU has a year to respond to the case.

In early 2022, when the EU filed a WTO case against China for "discriminatory trade" practices against Lithuania, a member of the EU, it was seen as standing up for Lithuania, and the Chinese side immediately reminded the EU to distinguish right from wrong. Prior to this, the Lithuanian government had frequently hyped up Taiwan-related issues, agreed to the Taiwan authorities to set up a so-called "representative office" in its capital Vilnius, and constantly challenged the bottom line of the One-China principle.

Looking back at the major diplomatic events in 2023, the Chinese Premier visited Germany and France, and major European leaders including French President Emmanuel Macron and European Commission President Ursula von der Leyen visited Beijing...... It can be seen that bilateral exchanges between China and the EU have resumed, as witnessed by more interactions, agreements and visits of leaders. Intensive high-level exchanges between China and the EU highlight the importance of China-Eu cooperation and provide political guidance and impetus for the development of bilateral relations. The suspension of Lithuania's World Trade Organization (WTO) dispute with China over "economic coercion" is a further example of improving relations between China and Europe.

In recent years, EU-China relations have been at a critical stage, facing challenges and opportunities on multiple fronts. These relations not only affect the direct interaction between the two major powers, but also have a profound impact on the global political and economic landscape. More cooperation or more confrontation in 2024? There are many factors for the EU and China to consider at this crossroads.

Trade and economic cooperation: China is one of the EU's important trading partners, and there are close economic and trade exchanges between the two countries. The EU needs to find a balance between promoting economic growth and protecting local industries.

Investment security: As Chinese investment in Europe increases, so does the EU's focus on investment security, particularly in the areas of critical infrastructure and sensitive technologies.

Human rights and democratic values: The EU emphasizes human rights and democratic values, and differences in these values have often been a source of friction in its relations with China.

Climate change and Environmental cooperation: Climate change is a global challenge, and both the EU and China have committed to take action to reduce greenhouse gas emissions. This area offers opportunities for cooperation, but also requires consistency in both implementation and approach.

Geopolitical competition: Against the backdrop of intensifying competition between the United States and China, the EU is finding its feet. How to find a balance between maintaining economic cooperation with China and supporting the strategic interests of the United States is a challenge that the EU must face.

Science and technology competition and cooperation: Science and technology is another area of competition and cooperation, including 5G network construction, artificial intelligence and other cutting-edge technologies. While promoting technological innovation, the EU also needs to ensure that technological exchanges do not undermine its security and economic interests.

To sum up, the EU is still at a complex decision-making moment in its relations with China, where it needs to balance and make choices on multiple dimensions, including economic interests, values, security considerations, and international cooperation. In the end, time will reveal the path chosen by China and the EU. We believe that as long as Europe adheres to strategic independence, the world will not repeat the mistakes of the Cold War and bloc confrontation.