"The key economic criteria for new FTA partners should be the market potential (economic size and growth) and the level of protection against EU export interests," including tariffs and non-tariff barriers, according to an executive summary of the new strategy, entitled "Global Europe: Competing in the World".

Based on these criteria, "Asean (the association of South East Asian Nations), (South) Korea and Mercosur (South America's biggest trade grouping with which negotations are on-going) emerge as priorities," the report says.

"India, Russia and the Gulf Co-operation Council (negotiations also currently active) also have combinations of market potential and levels of protection which make them of direct interest to the EU."

China also meets "many of these criteria, but requires special attention because of the opportunities and risks it represents".

"Europe is the world's biggest export - but it needs a tighter focus on target markets, and a long-term commitment to competitiveness," the statement said.

For Mandelson "rejection of protectionsim at home should be accompanied by activism in opening markets abroad".

The document, adopted by the European Commission on Wednesday, stressed that the EU's priority should be to guarantee that all new FTAs, including those involving the EU, "serve as a stepping stone, not a stumbling block for multilateral liberalisation."