During the last decade, China has become a major global economic and political player. China's economic development has been extraordinary; with average annual GDP growth rates close to 10%, it has become the third largest exporter globally.

Nevertheless, the GDP per capita numbers underline how far China's standard of living is still lagging behind and how far distant the goal of a "well-off society", emphasising a more social and environmentally friendly path to development, still is.

In line with China's economic rise, the country has come to occupy a prominent place on the EU policy agenda.

China is now the EU's second most important trading partner, after the US, while the EU has become China's top trading partner.

This report will first analyse what forces have been driving China's current development. The second part will try to identify how China will evolve in the future and what challenges to its long-term sustainable development for the EU and its policy stance.

It conclude with recommendations for an EU policy on China.

Download China, the EU and the world: Growing in harmony?

PDF format, 3.7MB, 202Pages, provided by the Bureau of European Policy Advisers (BEPA).

The mission of the Bureau of European Policy Advisers (BEPA) is to provide timely, informed, policy and political advice to the President and Commission Services on issues relevant to the President's agenda and the future of policies in the Union.

Due to its special position, working directly to the President, BEPA can lead inter-service groups on specific policy issues and participates in horizontal work within the Commission. In order to achieve its mission, BEPA aims to produce research and policy analysis up to high professional standards. It is on the basis of this strong conceptual and empirical work that BEPA contributes to effective communication not only within the Commission and the EU Institutions but also with academia, markets and the public in general.

The activity of BEPA is complementary to those of other Commission Services since it concentrates on the early (strategic) stage of the policy cycle, thereby contributing to shaping policy options in the medium and long run. BEPA interacts with academia, research institutes and, in  general, outside professionals in order to ensure that in making policy the President and through him, the Commission are informed by the  best analysis available.

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