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The Untapped Potential of Sino-European Investment

There is far less direct investment between China and the EU than there is between China and its other large trading partners, including the US and Brazil. With trade growth slowing, both sides should seek to exploit opportunities to boost investment flows as quickly as possible.

BEIJING – Global economic growth, says the International Monetary Fund, has been “too slow for too long.” A major reason has been sharply decelerating growth in global trade, which the World Trade Organization expects to grow by 1.7% this year – far below the 6.7% average in the decade preceding the 2008 crisis. With trade alone no longer capable of underpinning global cooperation, it is time to add more investment linkages to the mix.

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