EU-China Economic Relations and Global Imbalances

This speech is delivered by François Villeroy de Galhau, Governor of the Banque de France, addressing the economic relationship between Europe and China amidst global uncertainties. The document outlines the significance of EU-China economic relations, which have evolved to become one of the most developed in the world, accounting for a substantial portion of global GDP and trade. It highlights the mutual benefits derived from this partnership, particularly in sectors like automotive and pharmaceuticals, while also noting the challenges posed by recent geopolitical tensions and economic shocks. The speech further discusses the widening global imbalances, emphasizing the need for coordinated action to address these issues. It suggests that a more balanced economic relationship would benefit both Europe and China, particularly through increased Chinese investment in Europe. The document concludes by stressing the importance of maintaining dialogue and cooperation to ensure global economic stability and address shared challenges.