Comprehensive Agreement on Investment (CAI)
On 30 December 2020 Europe has finalized an investment agreement with China that is designed to rebalance trade with the world’s second largest economy.Brussels and Beijing have been negotiating the Comprehensive Agreement on Investment for seven years.President Xi Jinping said the new deal will “strongly stimulate” the world’s post-pandemic economy recovery, while promoting global trade and investment liberalization.The Commission described the agreement as one of “major economic significance.” The deal will help promote sustainable development, and improve market access for EU investors across sectors including health, financial services and electric vehicles.
As regards investment, the EU-China Comprehensive Agreement on Investment (CAI) will be the most ambitious agreement that China has ever concluded with a third country. In addition to rules against the forced transfer of technologies, CAI will also be the first agreement to deliver on obligations for the behavior of state-owned enterprises, comprehensive transparency rules for subsidies and commitments related to sustainable development.
For more details on the CAI:https://ec.europa.eu/commission/presscorner/detail/en/QANDA_20_2543
