García-Herrero, Alicia and Xu, Jianwei (2017) How to handle state-owned enterprises in EU-China investment talks. Bruegel Policy Contribution Issue n˚18 | June 2017. [Policy Paper]
Abstract
Chinese state-owned enterprises (SOEs) are one of the main obstacles preventing China and the European Union from agreeing a bilateral investment agreement. Creating barriers to prevent Chinese companies acquiring European assets will not solve the problem, but bringing Chinese corporate governance closer to global market principles will be essential to ensure European and Chinese corporates operate on an equal footing in their cross-border investment decisions.
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