EU-China Summit Set to Begin Amidst Tensions in Bilateral Relations
A significant summit between China and the European Union (EU) is set to commence in Beijing on Thursday, where leaders will address pressing issues such as trade conflicts and the ongoing war in Ukraine. However, expectations for the meeting are low due to uncertainties surrounding global trade dynamics and the political landscape, particularly following Chinese President Xi Jinping’s earlier decision to decline an invitation to Brussels. Despite this, Xi is confirmed to meet with European Commission President Ursula von der Leyen and European Council President Antonio Costa in Beijing, as both sides seek to navigate a complex relationship that has become increasingly strained.
Low Expectations as Meetings Convene
As the summit approaches, EU officials have expressed readiness for candid discussions, while Chinese representatives have framed the event as an opportunity for enhanced collaboration. A spokesperson from the Chinese foreign ministry described the bilateral relationship as being at a “critical juncture,” emphasizing the need to build on past achievements. Despite these optimistic statements, there is a prevailing sense of skepticism in Brussels regarding the potential outcomes of the summit. The EU’s 27 member states are currently facing similar pressures to those experienced by China, particularly concerning tariffs imposed on their exports to the United States.
Earlier this year, there had been a sense of optimism regarding EU-China relations, especially with the prospect of a new U.S. administration under Donald Trump potentially fostering closer ties. However, the mood has shifted significantly, with trust between the two economic powerhouses deteriorating. President Xi’s decision to reject an invitation to Brussels and his attendance at a Russian military parade in May have contributed to a tense atmosphere. Engin Eroglu, chair of the European Parliament’s China delegation, noted that the already fragile trust has reached a new low, describing the current mood as “tense – if not frosty.” The ongoing Russia-Ukraine conflict has further complicated relations, with the EU’s recent sanctions on Chinese banks for their involvement in supporting Russia adding to the strain.
Trade Relations Under Scrutiny
Trade relations remain a central concern for the EU as it navigates its relationship with China. Following the EU’s imposition of tariffs on Chinese-made electric vehicles last year, Beijing retaliated with duties on European liquor. Additionally, recent restrictions by China on government purchases of EU medical devices have emerged in response to similar limitations imposed by the EU on Chinese medical equipment. These trade tensions highlight the increasingly adversarial nature of the economic relationship between the two entities.
Moreover, China’s recent export controls on rare earths and critical minerals have raised alarms in Europe. European Commission President von der Leyen has accused Beijing of leveraging its “quasi-monopoly” on the global market for rare earths to undermine competitors in key industries. The EU is already grappling with the impact of cheap, subsidized Chinese goods on its industries, leading to a significant trade deficit that reached €305.8 billion ($360 billion) last year, doubling over the past nine years. In a recent interview, China’s ambassador to the EU, Cai Run, criticized the EU’s characterization of China as a “partner for cooperation, economic competitor, and systemic rival,” arguing that this mixed messaging creates confusion and obstacles in the relationship.
Geopolitical Tensions and Future Prospects
The geopolitical landscape surrounding the summit is further complicated by the ongoing war in Ukraine. The EU’s characterization of China as a key enabler of Russia’s actions has strained relations, with EU foreign policy chief Kaja Kallas asserting that China’s support for Russia could significantly impact the conflict. Reports have surfaced suggesting that Chinese Foreign Minister Wang Yi conveyed to Kallas that Beijing does not wish to see Russia lose the war, contradicting China’s official stance of neutrality. This divergence in perspectives has created an awkward backdrop for the summit, with both sides grappling with the implications of their respective positions.
As the summit unfolds, the focus will be on whether the leaders can find common ground amid the prevailing tensions. The discussions will likely address not only trade and economic issues but also the broader geopolitical implications of the Russia-Ukraine conflict. With both sides facing internal and external pressures, the outcomes of this summit may have lasting effects on the future of EU-China relations.
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