This new study examines the economic relationship between China and Europe, its importance and how it is likely to evolve and includes case studies of the automobile, toy, watch, telecommunications, banking and insurance industries.

Introduction 1 Trade and investment in China Section I The trade and investment environment 2 Foreign trade and investment: policy reforms in China in the mid-1990s 3 EU trade policy towards China 4 Regionalism in Asia and its impact on Sino-European trade 5 Europe's role in the transfer of technology to China 6 The technology intensiveness of China's trade with the European Union Section II Industry studies 7 European involvement in the automotive industry in China 8 Kids' stuff: the organisation and politics of the China-EU trade in toys 9 The persistence of key capabilities in flexible production networks: the watch industry in Switzerland and Hong Kong/China 10 European multinational strategy in telecommunications services in China 11 The choice of market-servicing mode for European banks in China 12 The insurance industry in China: the experience of European, US and Japanese firms Section III Future prospects and conclusions 13 Outward investment from China 14 Conclusions: an assessment of the strengths of the current and the future economic relationships between China and Europe