EU Launches Investigation into Chinese Medical Device Procurement Practices

EU Suspects Discriminatory Practices in Chinese Public Procurement

The European Union, on Wednesday, announced the initiation of an investigation into the procurement practices of medical devices in China. This marks the first use of the International Public Procurement Instrument (IMPI) regulation established in June 2022, which aims to address and consult on market access obstructions by third countries.

Investigation to Probe "Buy from China" Policy and Other Restrictions

The investigation, expected to last at least nine months, will examine several suspect practices. Notably, the "buy from China" policy, import purchase restrictions, and specific conditions in centralized acquisitions by hospitals are under scrutiny. These practices reportedly lead to abnormally low bids that profit-oriented companies cannot sustain.

Potential Consequences and Beijing's Reaction

Following the investigation, the EU might impose penalties on Chinese companies involved in European tenders if the practices are confirmed. In retaliation, Beijing has labeled the EU's actions as "protectionism" and warned that such measures harm the EU's reputation and target Chinese companies. This comes after China's recent anti-dumping probe into European wine spirits, signaling a possible escalation in trade tensions.