Worsening tensions between the European Union and China could jeopardize an investment deal that the two sides recently negotiated. The EU on Monday imposed sanctions on four Chinese officials and one entity for human rights abuses in Chinas northwestern Xinjiang region. The move was part of a coordinated action against Beijing by the U.S. and its allies including the U.K. and Canada.s

China swiftly retaliated against the EU, announcing its own blacklist of 10 individuals including European lawmakers and four entities. Beijings response in turn prompted warnings from several members of the European Parliament or MEPs, saying they would not ratify the EUChina investment deal that was agreed to in December. The lifting of sanctions against MEPs is a precondition for us to enter into talks with the Chinese government on the investment deal, said Kathleen van Brempt, an MEP from the leftleaning Socialist and Democrats group.

SD is the secondlargest political grouping in the European Parliament, with 145 MEPs. Those targeted by the Chinese sanctions also weighed in. Beijing said in a statement that its Vice Foreign Minister Qin Gang summoned Nicolas Chapuis, EU ambassador to China, on Monday night to protest sanctions by the EU.

The Mandarinlanguage statement released on Tuesday said EU sanctions targeted at China were based on lies and disinformation about Xinjiang, according to a CNBC translation. It also warned the EU not to further worsen EuropeChina relations. Human…