News

EU opens probe into China's medical device market

By AFP

April 24, 2024 05:22 PM


Twitter Share Facebook Share WhatsApp Share

The European Union on Wednesday announced a probe into China's medical devices market, prompting an immediate accusation from Beijing that the bloc was engaging in "protectionism".

Brussels suspects China is favouring its own suppliers for  the procurement of medical devices. The EU's official administrative journal, announcing the probe, set out ways that could be happening, including through a "Buy China" policy.

The EU also has concerns that China may have restricted imports and imposed conditions "leading to abnormally low bids that cannot be sustained by profit-oriented companies," the notice in the journal said.

In response, a Chinese foreign ministry spokesman said the investigation would "damage the EU's image".

"All the outside world sees is it (the EU) gradually moving towards protectionism," said the spokesman, Wang Wenbin, calling on Brussels to "stop using any excuse to groundlessly suppress and restrict Chinese business".

China's medical devices market is the second largest after the United States, worth around 135 billion euros in 2022 ($145 billion), according to a 2023 report by China-focused think tank MERICS.

The EU probe is the first under the bloc's International Procurement Instrument which seeks to promote reciprocity in access to international public procurement markets.

"The... restrictive measures and practices put at a significant and systemic disadvantage (European) Union economic operators, goods and services as they systematically favour the procurement of domestic products to the detriment of imported ones," the official journal said.

If the investigation finds unfair behaviour by China, the EU can limit Chinese companies' access to the 27-nation bloc's public procurement market.

The journal said the investigation would conclude within nine months, although the European Commission can extend this by five months.

Beijing is "invited to submit its views and to provide relevant information" and can hold consultations with the European Commission -- the EU's trade authority -- "to eliminate or remedy the alleged measures and practices," the text said.

Brussels wanted to "achieve a level playing field in our procurement markets for producers of medical devices, on both sides," EU trade commissioner Valdis Dombrovskis said.

"Regrettably, our repeated discussions with China on this trade irritant have been fruitless," he added.

 - Slew of probes -

 

The EU has launched a wave of investigations targeting China over the past few months, particularly into green tech subsidies.

The EU provoked Beijing's ire in April after announcing an investigation into Chinese wind turbine suppliers.

Other probes have focused on Chinese subsidies for solar panels, electric cars and trains as Brussels seeks to move away from reliance on cheaper Chinese technology.

On Tuesday, the commission announced surprise raids on the EU offices of an unidentified company that makes and sells "security equipment" as part of a probe into foreign subsidies.

The Chinese chamber of commerce in the EU denounced the raids in the Netherlands and Poland against a Chinese company.

The EU has also adopted laws that often have China in their sights.

The European Parliament on Tuesday approved a ban on products made using forced labour. Supporters hope it will be used to block goods from China's Xinjiang region where the Uyghur Muslim minority is said to endure many rights abuses.

The latest investigation was announced after German authorities arrested an aide to a far-right German MEP, Maximilian Krah, on suspicion of spying for China.


AFP


Most Read

  1. 20 passengers perish in Chilas bus plunge 20 passengers perish in Chilas bus plunge
  2. Daughters defend Bushra Bibi Daughters defend Bushra Bibi
  3. Pakistani-origin woman laid off by Elon Musk gives emotional reaction Pakistani-origin woman laid off by Elon Musk gives emotional reaction
  4. Pakistan's historic moon mission aboard China rocket blasts off Pakistan's historic moon mission aboard China rocket blasts off
  5. The Great Indian Kapil Show: Astonishing per-episode fees of cast revealed! The Great Indian Kapil Show: Astonishing per-episode fees of cast revealed!
  6. And they lived happily ever after! Ishq Murshid's last episode sparks joy among fans And they lived happily ever after! Ishq Murshid's last episode sparks joy among fans

Opinion

  1. PM Shehbaz Sharif, WEF and Pakistan
    PM Shehbaz Sharif, WEF and Pakistan

    By Naveed Aman Khan

  2. Employing global best practices in Pakistan-Saudi ties
    Employing global best practices in Pakistan-Saudi ties

    By Nasim Zehra

  3. PML-N smashed PTI in by-polls
    PML-N smashed PTI in by-polls

    By News Desk

  4. Riding the Digital Wave: How Technology is Rewriting the Script of Economic Prosperity
    Riding the Digital Wave: How Technology is Rewriting the Script of Economic Prosperity

    By News Desk

  5. Tax on solar energy: Govt's misplaced priorities favour powerful stakeholders over people welfare  
    Tax on solar energy: Govt's misplaced priorities favour powerful stakeholders over people welfare  

    By Manzoor Qadir

  6. Legacy of Indian military subjugation in Kashmir
    Legacy of Indian military subjugation in Kashmir

    By Dr Ghulam Nabi Fai