The agreement, described by the EU Council as the „first major bilateral trade agreement between the EU and China“, imposes the protection of the rights of 100 EU food products on the Chinese market (such as European wine and cheese), reserving the same guarantee for 100 China-related products in Europe. The European Union negotiates free trade agreements on behalf of all its member states, as EU member states have granted „exclusive jurisdiction“ to conclude trade agreements. Nevertheless, the governments of the Member States control every step of the process (through the Council of the European Union, whose members are the national ministers of each national government). The strategy also includes a trade agenda that places a strong emphasis on improving market access opportunities, including negotiations for a comprehensive investment agreement. It also looks at overcapacity and calls on China to look at multilateral ambitions. In March 2014, Brussels agreed that after the conclusion of an investment agreement between the EU and China, it would consider wider trade negotiations with Beijing. Negotiations on the investment contract began a few months earlier, in November 2013. Once completed, the ILO will replace the 26 existing ILOs signed by China over the years by EU member states. „We need to have confidence in the outlook,“ Wang said. He said the conclusion of trade negotiations between the US and China was „good news“ for Europe, as more negotiators could spend time on EU-China talks. The European Commission reports annually on the implementation of its main trade agreements in the previous calendar year. The EU is in favour of opening trade relations with China.

However, the EU wants China to act fairly, respect intellectual property rights and meet its obligations as a member of the World Trade Organization (WTO). Although the EU is currently in a trade deficit with China, European countries are exporting to other destinations; Indeed, the EU`s trade balance is generally positive. The European Union recognises the need to improve and strengthen its economic relations with China and wins a revolutionary trade deal, while the UK has opted for Brexit and Trump, two steps that will have a significant long-term impact on the country`s growth, competitiveness and prosperity. At the same time, the agreement came when US Secretary of State Mike Pompeo arrived in the UK to push London to toughen its stance towards China. As snub for the British government, Pompeo deliberately met with anti-Chinese MPs to discuss a point against Prime Minister Boris Johnson, a meeting described as „tougher“ by the BBC. Chinese Foreign Minister Wang Yi on Monday (December 16th) called for free trade negotiations with the EU to begin in parallel with ongoing negotiations on an investment agreement. This is something that Beijing is willing to compromise on.