FTA talks between Brussels and Beijing would take at least five years, so launching a feasibility study this year makes sense

The Centre for European Policy Studies, the European Union's leading think tank, released a report recently outlining reasons why Beijing and Brussels should launch free trade agreement talks.

The opinion of most experts is in line with that of the team led by Jacques Pelkmans, a senior research fellow at the CEPS. However, there have been voices saying that, although it would benefit both sides to reach a deep and comprehensive free trade deal, it is too early to take action right now.

Their arguments range from giving China market economy status first to the need to deal with terrorism, the migrant crisis and economic challenges.

In addition, they say Brussels is busy talking with Beijing about a bilateral investment agreement, and that it is more willing to conclude and ratify this agreement first before entering into free trade talks.

Compared with Brussels' reaction, Beijing has been more proactive in pushing for such discussions.

When President Xi Jinping paid his first visit to the European Union's headquarters in Brussels two years ago, he raised the idea that both sides should do a feasibility study on an FTA.

China and the United Kingdom also agreed to push such talks at the Beijing-Brussels level during Xi's visit to the country last year.

Pelkmans' team says in its report that Brussels has slowly gotten accustomed to China's urgency. The country stated in a recent foreign policy update that entering FTAs with its partners is at the top of its agenda.

Is it really too early for Brussels to engage with Beijing and start free trade talks? The answer is no.

Some may say the market economy of China is not sophisticated enough for Brussels to consider a strategy of combined talks similar to those between Brussels and Washington on the proposed Transatlantic Trade and Investment Partnership.

But Brussels and Beijing are already talking about an investment pact, which aims to achieve "deep and comprehensive" goals.

In some ways, the ongoing talks basically show Brussels' recognition of the openness and sophistication of China's economy, which has been developing for decades. So it is not reasonable for Brussels to postpone the FTA because of China's lack of market economy status.

What's more, China has already entered into FTAs with a number of non-EU countries in Europe, including Switzerland and Iceland. They treat China as a market economy, and the agreements have already boosted trade flows by big margins.

Some may say that it would be encouraging and promising for both sides to start such talks, but that Brussels is preoccupied with other pressing tasks. However, the leadership, especially top European leaders, should keep the big picture in mind even when dealing with the different crises the EU faces.

With thousands of bureaucrats in Brussels, there is no problem forming a task force to officially launch feasibility studies with the aim of initiating talks with Beijing. China is undergoing decisive reforms, so launching free trade talks could also speed up domestic reforms.

From feasibility studies to ratification, being optimistic, Brussels and Beijing will need at least five years to remove barriers and establish an FTA. The most important thing now is for the leaders of both sides to take the first step and agree to launch a feasibility study at their annual summit this year.

Then, negotiators from Beijing and Brussels can engage in the give-and-take process to unlock the great potential that is locked behind trade barriers.

The author is deputy editor of China Daily European Weekly. Contact the writer at fujing@chinadaily.com.cn