Delegation of the European Union to China

Reply by the EU Delegation to China on recent media reports related to the Belgrade-Budapest railway project

Beijing, China, 28/02/2017 - 11:39, UNIQUE ID: 170228_11
Local Statements

Following recent media coverage on the compliance with European Union law of the Hungarian section of the Belgrade-Budapest rail upgrade project, some clarifications are necessary.

The EU welcomes investment - whether domestic or foreign - as long as it is compatible with EU law. Foreign investments as such are not subject to control by the Commission. The Commission is called to analyse the compliance of public projects with any EU law that may be of application and to assess each case by its own merits, regardless of the nationality of the investor in the project.

The EU has not taken any action against this infrastructure project. It is standard practice for the Commission's services to assess the compliance of major public contracts with EU law. Against that backdrop, a dialogue with the Hungarian authorities, at technical level, is ongoing in order to seek some clarifications. At this stage, the Commission has not formulated any views regarding the project nor taken any position on the matter.

The EU and China have built a deep, strategic partnership, covering a wide range of political and economic issues. We are certain the Chinese leaders understand that the EU must ensure the application of all relevant laws in its territory, just as China does within its borders. In doing so, the EU would like to see China applying in its own procedures the same principles of transparency, non-discrimination and equal treatment, including for foreign companies, that are applied in the EU. The next EU-China Summit will be a new opportunity to demonstrate, once again, the vigour of our partnership and the extent of reciprocal benefits it brings to both sides.

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