Brussels, 20 October 2023
I went to China to hold a candid exchange on the obstacles faced by EU-China bilateral relations and to consider ways and means to improve them. This visit was already postponed twice this year: in April because I tested positive for COVID-19 and in July because China’s then Foreign Minister was removed and his successor not designated.
This time, it coincided with the dramatic events resulting from Hamas’ terrorist attack on Israel. During my visit in China, I discussed the situation in the Middle East with numerous interlocutors around the world. The time difference between Beijing, Europe and the Arab World allowed me to work intensively on this crisis while fulfilling my China programme.
The long over-due EU-China Strategic Dialogue
The main, and long overdue, purpose of this visit was to co-chair the EU-China Strategic Dialogue, to prepare the next EU-China Summit. I also had the opportunity to meet with Vice President Han Zheng and to give a speech at Beida, China’s prestigious Peking University. In Shanghai, I spoke with European business representatives and had a long and substantial exchange of views with eminent Chinese scholars at Shanghai’s Institute of International Studies.
Our interlocutors tried repeatedly to convince us that China and the EU are not rivals and should be partners. I explained the EU’s view that we are simultaneously rivals, competitors and partners. We are indeed rivals because our values and beliefs are very different on many subjects, including democracy and the universal character of human rights.
Being rivals on values doesn’t mean that we are enemies. I explained to my interlocutors that we don’t see multipolarity as a problem. It reflects the legitimate desire of non-western countries to become more active globally and have more of a say. And we respect that.
The EU is not afraid of China’s rise. On the contrary, we would like China to become more involved in collective efforts to tackle global issues.
The EU is not afraid of China’s rise, nor does it want to stand on its way. On the contrary, we would like China to become more involved in collective efforts to tackle global issues such as climate change, global health, or restructuring the debt of developing countries. And we are ready to be partners with China in those fields.
China’s decisive role to fight climate change
I explained to my interlocutors that the position China will adopt at COP 28 – especially if it features more ambitious climate-related targets – will send an important message to the rest of the world, given China´s global influence and its positions as the world´s largest greenhouse gas emitter. Although China is massively developing renewable energies, it is still burning as much coal as all the rest of the world together.
At the same time, I also reminded my Chinese interlocutors that it would be a mistake to underestimate Europe’s capabilities and its global role. One of the biggest errors made by President Putin in invading Ukraine was to believe that Europe has become so weak and so dependent on Russian gas that it will be unable to react to Ukraine’s invasion. We proved him wrong with our strong and united response.
Our economic relations are imbalanced
Regarding our bilateral economic relations, it is currently far from satisfactory. The EU is a major export market for China, but this relationship has for many years been an imbalanced one, and that imbalance is worsening, in part because of market access obstacles faced by European companies, as the European business community in China told me. They see the Chinese market as a huge source of opportunities and innovation where they must be present. But at the same time, they are concerned by the obstacles they face to access this market and these obstacles are not only originated in tariffs. They face for example difficulties to get European expatriates to come to China. The percentage of foreigners living in the country is currently very low. If human exchanges do not increase, it will be difficult to restore trust between China and the EU. As a result of these difficulties, we have recently witnessed a sharp downturn of new European investment in China. Firms are divesting towards alternative markets.
The EU is a major export market for China, but this relationship has for many years been an imbalanced one, and that imbalance is worsening.
I warned my interlocutors that the European public often thinks that trade imbalances with China are endangering jobs in strategic sectors such as the automotive or the chemical industry and demands more protective measures. European elections are taking place next year and this issue will be one of the topics of concern in the public debate.
China is currently planning to amend its legislation on the transfer of data by foreign companies. This would be a useful step. Gestures of this kind are needed to restore trust with the EU.
We discussed at length the notion of de-risking
We discussed also at length the notion of de-risking. The Chinese authorities seem to consider that de-risking is only another name for decoupling. It is not the case and I explained its meaning. During the COVID-19 pandemic and after the start of Russia’s war of aggression against Ukraine, we were obliged to diversify our supply for critical goods and materials at an incredible speed and high cost. To avoid this from happening again, we must be more cautious when almost all our imports in key sectors come from one only source.
It is therefore a matter of common sense for the EU to want to widen its base of supplies to increase its resilience. I reminded my Chinese counterparts that President Xi expressed a similar idea when he said in 2020 that “China must build a domestic supply system that is independently controllable, secure and reliable so that self-circulation can be accomplished at critical moments”. This translates into a policy of de-risking with Chinese characteristics.
Our concerns on security issues
Security is an important aspect in our bilateral relationship. This means that we must clearly express our concerns to China. And that’s what I did during this mission.
Since the outbreak of Russia’s illegal war against Ukraine, China’s ambivalent position has been difficult to understand in Europe, given the fact that the situation is quite clear: one country is being attacked and the other one is attacking. This is a flagrant breach of the UN Charter. Until now, Europeans have felt that China has not been using its unique influence to persuade Russia to halt its aggression. We are not asking China to adopt the same standpoint as the EU. But as Russia seeks to demonise Europe, China should engage further and act concretely for the sake of the UN Charter’s and Europe’s security.
Until now, Europeans have felt that China has not been using its unique influence to persuade Russia to halt its aggression against Ukraine
Taiwan is another major security issue in EU-China relations. We know how important this issue is for China. Our One China Policy remains unchanged. We believe that the status quo should be maintained. This means that China should not erode it, whether by coercion or force. It also means that Taiwan should not embark on any unilateral declaration of independence. Our bilateral ties with Taiwan, which exclude any diplomatic recognition, will continue and we keep calling for all tensions to be resolved through dialogue. We have consistently asked our interlocutors – on all sides – to avoid any actions that could lead to an escalation.
As already said, my visit took place as the dramatic events in Israel and Palestine unfolded. Logically, a significant part of our discussions with Director/Foreign Minister Wang Yi focused on the Middle East crisis. I explained to our Chinese counterparts: that we condemn in the strongest possible terms the Hamas terrorist attack against Israel and that Israel has the right to defend itself, in the framework of international law and in particular humanitarian law. With our Chinese interlocutors we agreed on the necessity of a political settlement based on a two-state solution, otherwise the cycle of violence will never end.
Finally, we also discussed our differences on the issue of human rights. I recalled our clear positions on the situations in Xinjiang and Tibet and mentioned several individual cases which I am hoping can be reviewed.
Scope to work together for a better world
Europe takes China seriously. We hope and expect that China also takes Europe seriously. Despite our significant differences, I am convinced that there is scope for us to work together for a better and more peaceful world.
Source – EEAS