October 20, 2007	Saturday	Shawwal 7, 1428

BRUSSELS, Oct 19: The European Union may take a different stance towards China over its growing trade surplus with the bloc if Beijing does not open up more to foreign exporters and investors, the EU executive said on Thursday.

The EU has so far taken a softer approach to dealing with China on trade issues than the US, which has launched more litigation against the Asian export powerhouse at the WTO than the 27-nation bloc.

A spokesman for EU Trade Commissioner Peter Mandelson said Brussels would face growing calls for protectionist measures from within Europe if China failed to provide real new opportunities for European businesses in its booming economy.

“If China does not pull its weight then inevitably we will be faced with calls for a different approach,” Commission spokesman Peter Power said, adding Mandelson believed protectionism was inappropriate and would help neither side.

“Maintaining open trade in both directions is the best solution for both sides. This remains our objective and we can only achieve it if China is committed to practical measures.”

China’s trade surplus with the EU rose to 86 billion euros ($122.6 billion) in the first seven months of 2007, from 69 billion in the same period of 2006, new data showed on Thursday.

The EU’s ambassador to China said on Wednesday that Mandelson felt let down that the EU’s less confrontational approach to trade disputes had not produced many results.

Mandelson wrote an internal Commission memo this week about the growing imbalance in EU-China trade which, according to media reports, said a tougher approach to dealing with Beijing might be necessary.

The EU and China are due to hold a summit in November with trade issues at the top of the agenda. —Reuters