In 1975, the People's Republic of China established bilateral relations with the European Community, which later became the European Union. China is the EU's second largest trade partner after the United States, and the EU is China's second largest trading partner after ASEAN.
Since March 2019, the European Union has referred to China as "a cooperation partner…, a negotiating partner…, an economic competitor…, and a systemic rival". The EU has put an arms embargo and numerous anti-dumping measures against the PRC in place. The EU has become increasingly critical of the PRC for its support of Russia in its invasion of Ukraine.
Framework initiatives Relations are governed by the 1985 EU-China Trade and Cooperation Agreement. Since 2007, negotiations have been underway to upgrade this to a new European Union Association Agreement and there are already 24 sectoral dialogues and agreements from environmental protection to education.
The EU-China 2020 Strategic Agenda for Cooperation, adopted in 2013, calls for cooperation in the areas of "peace, prosperity, sustainable development and people-to-people exchanges."EU-China relations, fact sheet . Brussels. 1 June 2017. European External Action Service. In the document, the EU reaffirmed its respect for China's sovereignty and territorial integrity, while the PRC reaffirmed its support to EU integration. In 2016, the EU adopted the "Joint Communication on elements for a new EU strategy on China" as its strategy on China. Joint Communication on elements for a new EU strategy on China . Brussels, 22 June 2016. An annual EU–China Summit is held each year to discuss political and economic relations as well as global and regional issues.
Science and technology China and the EU launched their first science and technology cooperation program in 1983. They also drafted an Agreement on Scientific and Technological Cooperation in 1998 which was renewed in 2004 with the aim of linking research organisations, industry, universities and individual researchers in specific projects supported by the EU budget.Casarini, N. (2009). Memorandum by Dr. Nicola Casarini. Stars and Dragons: The EU and China . European Union Committee.
Cooperation between the EU and China in the area of science and technology was facilitated by the Horizon 2020 program, addressing the following areas: (i) food, agriculture and biotechnology (FAB); (ii) sustainable urbanization; (iii) energy; (iv) aeronautics; (v) and other areas including ICT, water, health, society, polar research, sme instrument, and space.European Commission. (2016). EU-China research & innovation relations . European Commission.
Comprehensive Agreement on Investment The EU–China Comprehensive Agreement on Investment (CAI) has been under negotiation since 2014. DG Trade Phil Hogan in the Von der Leyen Commission promised during his September 2019 confirmation hearings that he would seek to complete the negotiations by the end of 2020. In December 2020, the European Union and China announced that they reached an investment deal that was first launched in 2013, referred to as the Comprehensive Agreement on Investment (CAI). In March 2021, it was reported that there would be serious doubts about the approval of the deal in the European Parliament given the PRC's sanctions against members of the parliament, the European Councils Political and Security Committee, and European think tanks. In May 2021, the European Commission announced plans to reduce dependence on the PRC in strategic areas of the economy. The same month, the European Parliament froze ratification of the CAI.
In 2020 and 2021, the Comprehensive Agreement on Investment drew a "firestorm of criticism" from US politicians and political commentators, who complained that the EU had not consulted the US before agreeing to the deal. However, as the US itself had signed a trade agreement with China a year prior without first having consulted the EU, the criticism was largely dismissed as being "hypocritical". Additionally, the Biden administration has claimed that the US will be "at the head of the table again", which some analysts say might be viewed as a threat towards the EU's goal of strategic autonomy from the US by implying that the European Union "[should] play second-fiddle to Washington".
History
Prior to the existence of the European Community, many European states had relations with the Ming dynasty as early as the 16th century. The most important relationship, apart from Britain-China connected China with France and Germany.
In 1979, just after the first direct elections to the European Parliament, the later institution established the "Delegation for relations with the People's Republic of China" (D-CN).
After the end of the Cold War in 1990, relations with Europe were not as important as its relations with the US, Japan and other Asian powers. However interest in closer relations started to rise as economic contacts increased and interest in a multipolar system grew. Although initially imposing an arms embargo on China after the 1989 Tiananmen Square protests and massacre (see #Arms embargo), European leaders eased off China's isolation. China's growing economy became the focus for many European visitors and in turn Chinese businessmen began to make frequent trips to Europe. Europe's interest in China led to the EU becoming unusually active with China during the 1990s with high-level exchanges. EU-Chinese trade increased faster than the Chinese economy itself, tripling in ten years from US$14.3 billion in 1985 to US$45.6 billion in 1994.Sutter, Robert G. (2008) Chinese Foreign Relations Maryland, Rowman & Littlefield Publishers. p.340-342
Political and security co-operation was hampered with China seeing little chance of headway there. Europe was leading the desire for NATO expansion and intervention in Kosovo, which China opposed as it saw them as extending US influence. However, by 2001 China moderated its anti-US stance in the hopes that Europe would cancel its arms embargo but pressure from the US led to the embargo remaining in place. Due to this, China saw the EU as being too weak, divided and dependent on the US to be a significant power. Even in the economic sphere, China was angered at protectionist measures against its exports to Europe and the EU's opposition to giving China the status of market economy in order to join the WTO.
Economic cooperation continued, with the EU's "New Asia Strategy", the first Asia–Europe Meeting in 1996, the 1998 EU-China summit and frequent policy documents desiring closer partnerships with China. Although the 1997 Asian financial crisis dampened investors enthusiasm, China weathered the crisis well and continued to be a major focus of EU trade. Chinese leaders were anxious to return the European interest and made high level visits throughout the 1990s, visits that were accompanied by major EU sales to China. Trade in 1993 saw a 63% increase from the previous year. China became Europe's fourth largest trading partner at this time. Even following the financial crisis in 1997, EU-Chinese trade increased by 15% in 1998.
France was leading the EU's desire for closer ties in order to establish a multipolar world and was the first, along with Russia, to establish strategic partnerships with China. Relations between the European Union and China have experienced a cool down after China canceled the EU-China yearly summit in November 2008. This was apparently caused due to French President Sarkozy's plans to meet with the Dalai Lama.Business fears over Chinese-French rift , Financial Times
On 16 October 2018, the European Union Naval Force and the Chinese People's Liberation Army Navy held for the first time ever a joint military exercise. The exercise took place at a Chinese military base in Djibouti and was completed successfully. Rear Admiral Alfonso Perez De Nanclares said that preparations for future exercises with the Chinese Navy are currently taking place.
China sent medical aid and supplies to EU countries affected by the COVID-19 pandemic. EU foreign policy chief Josep Borrell warned that there is "a geo-political component including a struggle for influence through spinning and the ‘politics of generosity’." Borrell also said that "China is aggressively pushing the message that, unlike the US, it is a responsible and reliable partner." During the 2020 China-EU summit, European Council President Charles Michel stated that "Europe is a player, not a playing field" regarding its relationship with China. In December 2020, the EU announced that the Comprehensive Agreement on Investment was concluded in principle. Some analysts said the Agreement may damage relations with the US.
The European Union has been China's most reliable partner with regard to clean energy and addressing climate change.
As of mid-2025, EU-China relations had reached what European Commission President Ursula von der Leyen described as an "inflection point," reflecting the European Union's growing skepticism over China's economic practices and geopolitical stance. The EU voiced concern over a widening trade deficit, which had reached €305.8 billion in 2024, attributing it to Chinese industrial overcapacity and state-subsidized exports. Brussels also criticized Beijing for limiting market access for European firms and imposing retaliatory tariffs on EU goods, including medical devices and liquor. China's tighter export controls on rare earths and critical minerals were viewed as efforts to exploit its market dominance. Political tensions were compounded by Beijing's continued engagement with Russia during the war in Ukraine and its rejection of an EU invitation to Brussels, contributing to what EU officials described as a climate of strategic mistrust. Engin Eroglu, chair of the European Parliament’s China delegation, stated that the already fragile trust between China and the EU had deteriorated further, describing the atmosphere as marked by strategic mistrust and a mood that was tense, if not "frosty."
Trade The EU and China are each other's largest trading partner as of 2023. The EU is the PRC's largest trading partner,EU replaces U.S. as biggest trading partner of China(09/15/06) china-embassy.org and the PRC is the EU's largest trade partner. In 2023 China accounted for 9% of EU goods exports and 20% of EU goods imports. In 2020, China overtook the US in becoming the EU's largest trade partner in terms of goods. Most of this trade is in industrial and manufactured goods. US is still EU's leading partner when services are included in the calculation. Between 2009 and 2010 alone EU exports to China increased by 38% and China's exports to the EU increased by 31%.
The EU and China signed a geographical indications agreement in September 2020. The agreement developed from pilot programs over the preceding eight years in which China and the EU worked on mutual registering and protection of geographical indications. The 2020 agreement extends mutual recognition of geographical indications to 275 from each side.
On 31 December 2020, the EU announced that the negotiations for the Comprehensive Agreement on Investment were concluded and the deal is pending ratification by the European Parliament. The deal is viewed as a significant step towards market liberalisation in China and "the most ambitious agreement that China has ever concluded" by significantly opening up its internal market to EU companies.
French business leaders, including Airbus and Alstom officials, accompanied Macron to the 2023 France–China Summit. Plans for a new Airbus assembly line in China were announced by Macron during the summit.