EU Says Does Not Want Trade War with Beijing

Vendors offer desserts to pedestrians at a store in Beijing, China, 09 November, 2024. EPA/ANDRES MARTINEZ CASARES
Vendors offer desserts to pedestrians at a store in Beijing, China, 09 November, 2024. EPA/ANDRES MARTINEZ CASARES
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EU Says Does Not Want Trade War with Beijing

Vendors offer desserts to pedestrians at a store in Beijing, China, 09 November, 2024. EPA/ANDRES MARTINEZ CASARES
Vendors offer desserts to pedestrians at a store in Beijing, China, 09 November, 2024. EPA/ANDRES MARTINEZ CASARES

The EU does not want a trade war with Beijing but five years of talks have yielded no real progress, the bloc's ambassador to China said on Saturday, adding that concern was growing over Chinese market access for European medical devices.
Trade frictions between the bloc and China have intensified over the past year after the EU launched an investigation into Chinese-made imports of electric vehicles (EVs) that prompted Beijing to launch probes into Europe's pork and dairy industries and curb brandy imports.
New EU tariffs of up to 45.3% on Chinese EV imports came into effect last week.
On top of that, the EU launched a probe into China's public procurement of medical devices in April, which Beijing swiftly criticized at the time.
Speaking at an event in Shanghai, the EU's Ambassador to China Jorge Toledo said talks with European medical device makers had shown they were being discriminated against in Chinese public procurement.
"We have found out, that it's clear ... European companies, that have been producing medical devices in China for the last two decades, are being discriminated against their Chinese competitors in public procurement," Toledo said at the 30th anniversary celebration of the China Europe International Business School.
"If that is true, and we know it's true, we will treat Chinese companies in Europe the same way we are treated here," Reuters quoted him as saying. "We don't want a trade war. We just want transparency. We want a level playing field."



IMF Grants Egypt Initial Approval of $1.2 Bln Fourth Review

Santa Claus toys are displayed in a shop with Christmas decorations in Cairo, Egypt, December 23, 2024. (Reuters)
Santa Claus toys are displayed in a shop with Christmas decorations in Cairo, Egypt, December 23, 2024. (Reuters)
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IMF Grants Egypt Initial Approval of $1.2 Bln Fourth Review

Santa Claus toys are displayed in a shop with Christmas decorations in Cairo, Egypt, December 23, 2024. (Reuters)
Santa Claus toys are displayed in a shop with Christmas decorations in Cairo, Egypt, December 23, 2024. (Reuters)

The International Monetary Fund said on Wednesday it reached a staff-level agreement with Egypt on the fourth review under its Extended Fund Facility arrangement, potentially unlocking a $1.2 billion disbursement under the program.

Egypt, grappling with high inflation and shortages of foreign currency, agreed to the $8 billion, 46-month facility in March. A sharp decline in Suez Canal revenue caused by regional tensions over the last year compounded its economic woes.

The IMF said Egypt's government had agreed to increase its tax-to-revenue ratio by 2% of gross domestic product over the next two years, with a focus on eliminating exemptions rather than increasing taxes.

This would give it space to increase social spending to help vulnerable groups, the IMF said in a statement.

"While the authorities' plans to streamline and simplify the tax system are commendable, further reforms will be needed to enhance domestic revenue mobilization efforts," the statement said.

Egypt had agreed to make more decisive efforts to ensure the private sector became the main engine of growth and to sustain its commitment to a flexible exchange rate, the IMF statement added.

The staff-level agreement of the fourth review must still be approved by the IMF's executive board.