Protection of Foreign Investment and the EU: Framework and First Fruits

2015 ◽  
Author(s):  
G. Matteo Vaccaro-Incisa
Keyword(s):  
Foreign Investment ◽  
The Eu

International Aspects of Investment Liberalization in the PRC: A Case of EU-China Cooperation

2021 ◽  
Vol 13 (3) ◽  
pp. 190-224
Author(s):  
D. A. Potapov
Keyword(s):  
Foreign Investment ◽  
World Order ◽  
Special Focus ◽  
The European Union ◽  
Human Right ◽  
Foreign Investments ◽  
Eu Member States ◽  
International Aspects ◽  
The Eu

The paper examines the role of investment cooperation and national foreign investment regime as a means to promote China’s economic and political interests and to respond to new global challenges that the country faces nowadays. To this end, the author examines the main stages of China’s liberalization of the legal regime for foreign investment from the end of the 1970s with a special focus on a new foreign investment law. In doing so the author attempts to link the evolution of investment regulation in the PRC with the dynamics of international relations development and the changing role of China as a regional and global actor. The author emphasizes that a trend towards the emergence of a polycentric world order not only provokes the rise of international tensions but also provides new incentives to promote dialogue and enhance cooperation between states and non-governmental actors, particularly by encouraging foreign investments. At the same time, there is a growing need to improve regulatory mechanisms for direct foreign investments. All these contradictory trends have directly affected China’s foreign investment regime reform. In this context the investment cooperation between the PRC and the European Union is of particular importance. The EU possesses a set of innovative technological solutions and competencies that are of particular interest to the Chinese leaders in the context of their efforts to modernize the country’s economy. The paper examines the volume, dynamics and key directions of investment flows between China and the EU member-states. The fact that after seven years of difficult negotiations, the EU and China managed to develop a special bilateral regulatory mechanism — EU-China Comprehensive Agreement on Investment — underscores again the importance of this cooperation for both parties. Even though the EU has suspended the ratification of this deal on the pretext of human right violations in the Xinjiang Uygur Autonomous Region, the author concludes, that in the future this agreement will come into force, since the very logic of the emerging polycentric world order urges for deeper cooperation between the EU and China. In this context, the investment regulation appears not only as a means to protect the Chinese economic interests, but also as an instrument to strengthen China’s international positions in the changing global context.

scholarly journals The Attitudes of the European Union and China Towards Foreign Direct Investment: Implications for Bilateral Relations

2019 ◽  
Vol 22 (3) ◽  
pp. 83-98
Author(s):  
Janina Witkowska
Keyword(s):  
Foreign Direct Investment ◽  
Foreign Investment ◽  
Direct Investment ◽  
Member States ◽  
Independent State ◽  
Eu Countries ◽  
Eu Member States ◽  
Bilateral Relations ◽  
New Eu Member States ◽  
The Eu

The aim of this paper is to discuss new trends that have occurred in the policies of the EU and China towards foreign direct investment (FDI), to examine some implications of the EU‑China Comprehensive Agreement on Investment (CAI) – which is currently being negotiated – for their bilateral relations, and to assess the role which China’s “One Belt One Road’ (OBOR) initiative might play in its relations with the new EU Member States. The EU established freedom of capital movement with third countries; however, the introduction of the common investment policy has encountered some obstacles. These are related to investor protection and ISDS issues. In turn, China is carrying out an independent state policy towards foreign investment with limited liberalization of FDI flows. The negotiated EU‑China CAI is expected to create conditions conducive to bilateral foreign investment flows, and it might bring positive effects for their economies in the future. However, the progress made thus far in the negotiations is still limited. The relations between China and the new EU Member states (CEE countries) are characterized by common interests in the field of FDI flows. The new EU countries are interested in attracting Chinese FDI and seem not to show the fears that have arisen in the old EU countries.

New Turkish Cypriot leader is chance for settlement

2015 ◽  
Keyword(s):  
Foreign Policy ◽  
Foreign Investment ◽  
Eastern Mediterranean ◽  
Left Wing ◽  
Eu Accession ◽  
Content Type ◽  
International Support ◽  
Turkish Cypriot ◽  
First Time ◽  
The Eu

Significance Reunion of the island is now an option, for the first time since the Turkish invasion of 1974. There is strong international support, but designing a deal acceptable to both sides may be more difficult than some politicians and public opinion on both sides suppose. Tough choices and sophisticated compromises will be necessary in the next few months and may not be forthcoming. Yet among both Greek and Turkish Cypriots, there are expectations that a settlement could revitalise the island, where both sides' economies are stagnating. Impacts Agreement would ease decades-old tensions between Greece and Turkey in the Eastern Mediterranean, benefiting NATO and the EU. However, a settlement would not significantly unblock the path of Turkey's EU accession bid. Cyprus would become a more appealing destination for foreign investment and tourism. With left-wing politicians on both sides deciding the deal, NATO and US interests would have to be safeguarded during talks. Turkey must decide how to respond to the unwinding of a four decades-old foreign policy.

Economic woes to mark succession preparation in Cuba

2017 ◽  
Keyword(s):  
Economic Reform ◽  
Foreign Investment ◽  
Vice President ◽  
Reform Process ◽  
Economic Downturn ◽  
Social Unrest ◽  
Content Type ◽  
Low Profile ◽  
Step Down ◽  
The Eu

Subject The Cuban economy. Significance Less than three months before President Raul Castro is due to step down from the state leadership, Cuba’s economy is in decline and its reform process has stalled. Castro’s heir apparent, Vice President Miguel Diaz-Canel, is keeping a low profile and promising continuity. An emerging independent media is causing concern in government circles but has not yet led to a crackdown. Impacts The economic downturn will strain society but an outburst of social unrest remains unlikely for now. As US pressure and domestic tensions rise, Havana will strive for cohesion, even if this stalls economic reform. Trump's confrontational politics force Havana to seek foreign investment elsewhere and to maintain good relations with the EU and Canada.

The Scope of the EU Treaty-Making Power on Foreign Investment: Between Wishful Thinking and Pragmatism

2016 ◽  
pp. 86-115
Author(s):  
Luis M. Hinojosa-Martínez
Keyword(s):  
European Union ◽  
Foreign Investment ◽  
Trade Agreement ◽  
Case Law ◽  
Free Movement ◽  
The European Union ◽  
Lively Debate ◽  
The Common ◽  
Free Movement Of Capital ◽  
The Eu

Since the Treaty of Lisbon introduced ‘foreign direct investment’ into the provisions on the common commercial policy of the European Union (EU), the scope of that competence has raised a lively debate. Much less attention, however, has been paid to the rules on the free movement of capital in the Treaty on the Functioning of the European Union, although this area is highly relevant to clarify the blurred boundaries of the EU’s competence concerning foreign investment. This article reviews arguments from the chapter on the free movement of capital and from the recent European practice and case-law to shed light on the debate about the competence on foreign investment. It also depicts the circumstances in which the Court of Justice has to deliver its Opinion on the EU competence to sign and conclude the EU-Singapore Free Trade Agreement.

EU scrutiny of Chinese investment will increase

2018 ◽  
Keyword(s):  
Foreign Direct Investment ◽  
Foreign Investment ◽  
Direct Investment ◽  
Investment Decisions ◽  
European Council ◽  
Content Type ◽  
Chinese Investment ◽  
Exchange Of Information ◽  
European Parliament Elections ◽  
The Eu

Subject Investment screening in the EU. Significance The European Council is likely to vote in the autumn on a Commission proposal to introduce a foreign direct investment (FDI) screening mechanism in the EU. Although member states are divided on this issue, legislation is expected to be adopted by the end of the year. Impacts The proposed mechanism could complicate EU-China relations. It would enable more coordination and exchange of information on national foreign investment decisions. If the mechanism is not adopted by the end of the year, it could be significantly delayed due to the May 2019 European Parliament elections.

Sweden will lose a key EU ally through Brexit

2018 ◽  
Keyword(s):  
Decision Making ◽  
Foreign Investment ◽  
Trade Negotiations ◽  
Content Type ◽  
The Future ◽  
The Eu

Significance The outcome of the Brexit negotiations and its aftermath will impact Sweden’s role and standing within the EU. Impacts The uncertainty regarding the future of London as a financial hub is unlikely to drive large amounts of foreign investment into Sweden. Sweden’s weight in EU decision-making on third countries will increase after Brexit. A more protectionist stand would impact the EU's trade negotiations with Mercosur and countries such as India.

EU foreign investment disunity could fuel populism

2017 ◽  
Keyword(s):  
Foreign Investment ◽  
Direct Investment ◽  
Free Trade Agreement ◽  
Trade Agreement ◽  
Content Type ◽  
Investment Treaty ◽  
Successful Resolution ◽  
Economic Relationship ◽  
And Control ◽  
The Eu

Significance For Germany and France, an important component of this is the treatment of foreign direct investment (FDI). However, prospects for an EU-wide response appear to divide the bloc, with many countries rejecting the principle of regulation by the European Commission. Impacts A Commission proposal on investment scrutiny will test the limits of Chinese influence and EU unity. If any move on investment scrutiny is seen as singling out China, it could undermine the country’s economic relationship with the EU. This could stall progress on a bilateral investment treaty and any free trade agreement that might follow. Successful resolution of EU-Chinese tensions could open up a more coherent and reciprocal approach to FDI scrutiny and control.

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