Why are Europe and Asia associated with one another?

Asia-Europe trade

Trade between ASEM countries accounts for about half of all world merchandise trade, with two major hubs: Germany and China. Germany is responsible for one-quarter of the overall business in the ASEM group and is the leading trade bridge between the two continents. China is the largest customer, with over half of its European exports delivered to Germany, The Netherlands, and the UK. Russia is the third largest trader, exporting twice as much to Europe as Asia. Significant Asia-Europe trade flows of more than $100 billion exist between Europe, Japan, Korea, and India. Diplomatic relationships are strong, and links via trade agreements and embassies are associated with greater bilateral trade intensity. 2019 saw a new trade agreement between the EU and Japan coming into force, which includes provisions on sustainable development. Explained, the economic ties between Europe and Asia

After 1945, Europe and Asia’s pathways toward economic union were distinct. In contrast to Asia, which lacked solid economic integration agreements, Europe had a monetary union with free movement of commodities and factors of production and a single currency by 2000. Asian nations have become more engaged in detailed trade agreement negotiations since 2000, a distinctive aspect of open regionalism. Greater economic integration of countries looking to gain from globalization in Europe and Asia will result from the convergence of the EU’s external trade policy and the policies of many Asian nations toward a model of liberal trade regimes.Different Paths to Economic Integration in Europe and Asia

THE EU AND ASIA: CONFLICTING INTERESTS AND CONTRASTING WORLDVIEWS

There are long-standing disagreements regarding principles and standards between the EU and its Asian allies and worries about protectionism and intellectual property rights. For example, the EU is pressing for legally enforceable reductions in CO2 emissions, whereas ASEAN is asking for flexibility. In addition, the EU and ASEAN have divergent views on state sovereignty and international law.The Strength of Distant Ties: Europe’s Relations with Asia in a Changing World