EU faces a time of challenges

Huge market

"And when it comes to cheap, clean technology, China is the undisputed world leader. Two decades of consistent and targeted industrial policy, combined with the benefits of a huge domestic market, mean that China today produces extremely competitively priced, high-quality, low-carbon goods," he said.

EU member states are divided on the issue, with Scholz recently joining Spanish Prime Minister Pedro Sanchez in calling for the EU to drop its plan to impose extra tariffs on Chinese EVs.

Many are worried about a potential trade war with China launching anti-dumping probes into pork and brandy from the EU.

The two sides have been engaging with each other trying to solve the issues through negotiations. Chinese Minister of Commerce Wang Wentao met with European Commission Executive Vice-President Valdis Dombrovskis in Brussels on Sept 19 in a bid to narrow the differences.

While they have not reached any agreement, both sides reaffirmed their political will to pursue and intensify efforts to find a mutually agreeable solution.

The 27 EU member states will vote on the tariffs. They will be implemented by the end of October unless a qualified majority of 15 members representing 65 percent of the EU population votes against the duties.

"In the field of green and climate, I believe that positive EU-China collaboration will not just benefit China and Europe, but also the world as a whole," said Matic Gajsek, director for Europe at the Europe Asia Center, a Brussels-based think tank.

Ding, of Fudan University, agreed that the green transition, artificial intelligence, digital revolution, joint tackling of global hot spot issues and opposing unilateralism and de-globalization present huge opportunities for China-EU collaborations.

He said the biggest challenges facing the bilateral relations remain to be in trade and the lack of mutual trust.

"Based on the current assessment, the second von der Leyen commission's policy on China won't be too much different," Ding said. But he believes the outcome of the 2024 US presidential election on Nov 5 could impact EU policy direction.

The EU has since March 2019 defined China as a cooperation partner, economic competitor and systemic rival. Some EU politicians have increasingly played up the competition factor and a de-risking strategy. China disagrees with the description and instead emphasizes a comprehensive strategic partnership that was set up between China and the EU in 2003.