The EU has suspended efforts to ratify an investment deal with China because of tensions between Brussels and Beijing. The agreement was reached in principle last December but had yet to receive the necessary endorsement from EU institutions.

EU suspends efforts to ratify investment deal with China

EU member states gave political backing to Brussels' planned investment pact with China on Monday, clearing the way for a deal between the world's biggest economic blocs.

China&nbsp;and the European Union are likely to clinch a deal this week&nbsp;despite concerns over the country's rights and labour record.&nbsp;

Talks on the investment deal began in 2014 but were stuck for years as the EU said&nbsp;China&nbsp;was failing to make good on promises to lift curbs on EU investment despite a pledge to open up the world’s second-largest economy.

But tensions in trade relations between the United States and&nbsp;China&nbsp;may have helped change the Chinese position and bring about a deal between Beijing and Brussels, officials said.

Also read:&nbsp;<a href="https://www.wionews.com/world/eu-urges-china-to-release-of-12-hong-kong-pro-democracy-activists-353198" hreflang="en">EU urges China to release of 12 Hong Kong pro-democracy activists</a>

If there is political agreement on the deal on Wednesday, its transposition into legal texts could take several months. Together with the ratification process, that could mean it will be about a year before it is implemented, officials said.

Chinese foreign ministry spokesman Wang Wenbin told a regular news briefing on Tuesday that talks had made huge progress and that&nbsp;China&nbsp;hopes a deal can come to fruition "at an early date".

The negotiations have been conducted by the European Commission, which handles all external trade issues for the 27-nation bloc, with the aim of getting the same access for EU firms that Chinese companies already have to the EU market.

The investment agreement also prohibits forced transfer of technologies by EU firms that establish themselves in&nbsp;China, and contains measures to discipline Chinese state-owned companies when it comes to competition on the Chinese market and rules on the transparency of state subsidies to Chinese enterprises.

Under the agreement,&nbsp;China&nbsp;will also pledge to subscribe to the International Labour Organisation's rules on forced labour.

China&nbsp;wanted access to the EU's energy market, but given sensitivities over national security, the Commission offered Beijing access to only a small part of the renewable energy sector, and only on a reciprocal basis, the officials said.

Ambassadors of EU governments in Brussels discussed the agreement on Monday, and no country had any major problems with it, the officials said.

Poland suggested the EU should wait to discuss the deal with the new US&nbsp;administration of President-elect Joe Biden, they added, but other countries did not share this view.

'Systematic rival'

While Donald Trump's administration has engaged in a war of words with Beijing, Brussels has taken a balanced approach.

The EU states treat China as a "systemic rival" and have expressed concerns over China's rights record, especially its clampdown in Hong Kong and treatment of the Uighurs.&nbsp;

Berlin wanted to get the agreement signed off at a joint EU-China summit in September, but the coronavirus pushed the event online and no deal was signed.

China pushed past the United States in the third quarter of this year to become the EU's top trade partner, as the COVID-19 pandemic disrupted the US economy while Chinese activity rebounded.

EU member states gave political backing to Brussels' planned investment pact with China on Monday, clearing the way for a deal between the world's biggest economic blocs.

EU member states gave political backing to Brussels' planned investment pact with China on Monday, clearing the way for a deal between the world's biggest economic blocs. China and the European Union are likely to clinch a deal this week despite concerns over the country's rights and labour record. Talks on the investment deal began in 2014 but were stuck for years as the EU said China was failing to make good on promises to lift curbs on EU investment despite a pledge to open up the world’s second-largest economy. But tensions in trade relations between the United States and China may have helped change the Chinese position and bring about a deal between Beijing and Brussels, officials said. Also read: EU urges China to release of 12 Hong Kong pro-democracy activists If there is political agreement on the deal on Wednesday, its transposition into legal texts could take several months. Together with the ratification process, that could mean it will be about a year before it is implemented, officials said. Chinese foreign ministry spokesman Wang Wenbin told a regular news briefing on Tuesday that talks had made huge progress and that China hopes a deal can come to fruition "at an early date". The negotiations have been conducted by the European Commission, which handles all external trade issues for the 27-nation bloc, with the aim of getting the same access for EU firms that Chinese companies already have to the EU market. The investment agreement also prohibits forced transfer of technologies by EU firms that establish themselves in China, and contains measures to discipline Chinese state-owned companies when it comes to competition on the Chinese market and rules on the transparency of state subsidies to Chinese enterprises. Under the agreement, China will also pledge to subscribe to the International Labour Organisation's rules on forced labour. China wanted access to the EU's energy market, but given sensitivities over national security, the Commission offered Beijing access to only a small part of the renewable energy sector, and only on a reciprocal basis, the officials said. Ambassadors of EU governments in Brussels discussed the agreement on Monday, and no country had any major problems with it, the officials said. Poland suggested the EU should wait to discuss the deal with the new US administration of President-elect Joe Biden, they added, but other countries did not share this view. 'Systematic rival' While Donald Trump's administration has engaged in a war of words with Beijing, Brussels has taken a balanced approach. The EU states treat China as a "systemic rival" and have expressed concerns over China's rights record, especially its clampdown in Hong Kong and treatment of the Uighurs. Berlin wanted to get the agreement signed off at a joint EU-China summit in September, but the coronavirus pushed the event online and no deal was signed. China pushed past the United States in the third quarter of this year to become the EU's top trade partner, as the COVID-19 pandemic disrupted the US economy while Chinese activity rebounded.

European Union paves way for investment deal with China

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EU suspends efforts to ratify investment deal with China

European Union paves way for investment deal with China