Chinese Direct Investments in the EU: New Tax Treaties and Effective Corporate Tax Burdens

Against a background of direct investment flows from China (People’s Rep.) into the European Union and their considerable untapped potential, China and several EU Member States have recently agreed new tax treaties. The authors will analyse the new tax treaties agreed by China with France, Germany, the Netherlands and the United Kingdom and the comparative attractiveness of these EU Member States for Chinese investors, in terms of effective corporate tax burdens being improved by the new tax treaties.