Since the European Union has an economy that is second in the world to the United States, they need to stay competitive with the changing technology of the 21st century. What had been a somewhat measured approach to technology investment has started to gain attention in recent years as the EU has begun to realize the importance of technology to their economic development.
The rapid technological advancements made and adopted by Chinese companies, and their swift integration of tech into their everyday lives, have made them a valuable partner to the EU. On the other hand, the European Union is also monitoring China’s increasing involvement in tech for a number of reasons. As concerns arise regarding economic espionage, cyberwarfare, and artificial intelligence (AI), the European Union is keeping a wary eye on this relationship.
Since the establishment of the “Digital Single Market” initiative in 2015, the European Commission has started to carefully consider every aspect of the partnership between the European Union and China. As digital infrastructure and new technologies become more important, the European Union is upping its vigilance in monitoring the Chinese tech industry.
Some of the key points the EU is focusing on are digital trade, digital infrastructure, China’s successful IPO launches, and cloud computing. While the EU is keen for a successful relationship with China, they are also wary of potential economic espionage and cyber threats.
The impact of China’s tech investments on European Union is undeniable, however. China’s influence in the European economy is growing at an explosive rate, with many Chinese-based companies now accounting for a sizable portion of outward investment on the continent.
The Global Times suggests that the European Union’s wariness of Chinese tech investments is understandable, yet conflicts with their attempts towards cooperation with Chinese firms. Ultimately, the EU needs a proper balance between protecting itself from cyber threats associated with technology investments and allowing Chinese companies to continue to invest in tech to benefit the EU.
The European Union is in a delicate position when it comes to Chinese tech investments, but if they are able to strike a balance of cooperation and protection, then the EU could continue to benefit from the economic and technological advancements of Chinese companies. Until then, the EU will be sure to keep a careful watch on the ever-changing Chinese tech industry.
In the end, the EU will have to navigate the challenges of properly investing in tech while maintaining a secure and healthy relationship with Chinese tech companies. It is an ongoing effort that will require close monitoring, but one that could reap significant rewards in the future.