The traditional Western world alignment between the U.S. and Europe has been strained by four years of tumultuous foreign policy. Now, the gravity of China’s rise threatens to drive a larger wedge between the two regions.

It’s a critical time for global order China and Europe must manage and adapt to increasing competitiveness in their relationship and find a pragmatic, rational and balanced approach to their relations. But they must also increase communication and cooperation to prevent the world from renewing the pattern of major power confrontation.

Many Central and Eastern European countries are re-considering their geopolitical relationships as China becomes more involved in the region. How might a more balanced and neutral foreign policy change Croatia’s economic and political fate?

Europe needs sustainable China policy, as it currently finds itself in a dilemma. It wants the economic benefits of trade with China, but it is loath to cut ties with the United States, which it needs for markets and security. It a fast-changing world, it needs to find a path forward.

The EU-China Comprehensive Investment Agreement (CAI) might look like a free lunch for European companies interested in operating in China but the push for bifurcation of operations both from U.S. and Chinese side could bring unintended negative consequences from such deal.

European foreign policy often mirrors Washington’s global ambitions. As China’s economic influence strengthens, the Biden administration must consider a new foreign policy to unite the United States and its European partners.

European foreign policy often mirrors Washington’s global ambitions. As China’s economic influence strengthens, the Biden administration must consider a new foreign policy to unite the United States and its European partners.

The new U.S. president is relying is his political memory as he approaches relations with Europe. But the world no longer matches the memories. He will face significant new hurdles. Donald Trump made structural changes that will not be easy to undo.

China and the EU are staunch supporters of multilateralism, and the recent BIT agreement, underpinned by institutionalized rules for win-win cooperation, will significantly shore up confidence in cooperation in global governance.

The treaty is part of a strategic choice made by China, whose interests align with those of the European Union. For the EU, the BIT is a well-thought-out strategic choice based on the world’s post-pandemic economic landscape.