Abstract:In 2019, the EU issued EU Regulation Establishing a Framework for the Screening of Foreign Direct Investments into the Union, which, in view of its legislative motivation and content, will delay China’s investment into Europe, and further affect China’s technological development, industrial chain layout of enterprises, and foreign investment policies. In order to reduce these negative effects, the Chinese government and overseas investment enterprises can comprehensively use multi-dimensional reasonable and effective measures according to the context of EU regulations. Enterprises can make full use of the mitigation measures of foreign investment review of EU member states, adopt the cooperative way to invest, choose alternative investment places outside the EU in key technologies and other fields, and increase positive technology spillover. The China government can optimize foreign investment policies, manage foreign investment in a manner consistent with international law, maintain competition neutrality, adjust the strategy of negotiation of China-EU investment agreements, and strengthen investment cooperation with the EU at the government level.