EU Urges China to Reform 'Distortive' State Support Policies

The European Union has issued a call for China to reform policies that offer state support to its manufacturing sector, describing these measures as 'distortive' and giving Beijing an unfair competitive edge over other nations.

An EU envoy, in a speech delivered at a closed-door WTO review of China’s trade policies and shared with Reuters, stated, 'It is indispensable to examine and conduct its trade policy, as well as its domestic policies, in particular its industrial policy with a goal to minimise such negative spill-overs.'

The delegate also urged Beijing to stop using its 'developing' country status at the WTO to gain preferential treatment designed for poorer states.

(With inputs from agencies.)