European companies are finding it harder to do business in China, according to a new report from the European Union Chamber of Commerce in China.
The report documents the challenges facing the 1,400 European companies battling to do business in the country. Complaints include discrimination against European companies, arbitrary laws and regulations, and alleged abuses of China's World Trade Organisation obligations.
Joerg Wuttke, the president of the European Chamber said that the Chinese government , has not permitted a single major takeover by a foreign company of a domestic firm and , rarely explains its decisions. "There was no substantive analysis or evidence supporting the rejection of Coca Cola's merger with Huiyan, which doesn't help dispel suspicions of protectionism," said Wuttke.
Meanwhile the World Bank ranks China as 83rd out of 181 countries in its annual assessment of how easy it is to do business.