Tensions eclipse EU-China summit as Xi warns Brussels on trade rift

TIMES Report
6 Min Read
EU China summit kicks off in Beijing under umbrella of 50 years of diplomatic relations. Photo: AP

Chinese President Xi Jinping urged top European Union officials on Thursday to “properly handle differences and frictions” as he criticised Brussels’s recent trade actions against Beijing at a tense summit dominated by concerns on trade and the Ukraine war.

Expectations were low for the summit in the Chinese capital marking 50 years of diplomatic ties after weeks of escalating tension and wrangling over its format, with the duration abruptly halved to a
single day at Beijing’s request, reports agencies.

The mood before the meeting on Thursday, however, has not been particularly celebratory but, rather, tense with low expectations for any concrete bilateral deals. The summit which was meant to be a two-day
affair, was also condensed into a single day’s event by Beijing earlier this month, citing domestic reasons, says an explainer of Al Jazeera.

A series of trade disagreements, particularly over market access and critical rare earth elements, and geopolitical tensions, primarily Russia’s ongoing war in Ukraine, have marred EU-China relations.

Gunnar Wiegand, the former managing director for Asia and the Pacific at the European External Action Service (EEAS) and currently a distinguished fellow at the Indo-Pacific Program of the German Marshall Fund’s
Brussels Office, told Al Jazeera that the EU’s current partnership with China is complex.

“The EU views China as a partner for global challenges, an economic competitor when it comes to developing new technologies and also a systemic rival because of Beijing’s governance system and its influence on
global affairs,” he said, adding that the question of whether China is also a threat to European security has come up over the last few years in the context of Russia’s ongoing war in Ukraine.

Who is attending the summit?

European Commission President Ursula von der Leyen and European Council President Antonio Costa visiting China on Thursday, seeking to address these disputes at the summit. “This Summit is an opportunity to
engage with China at the highest level and have frank, constructive discussions on issues that matter to both of us. We want dialogue, real engagement and concrete progress,” Costa said in a statement in advance
of the summit.

Is Russia’s war in Ukraine on the agenda?

According to EU officials, discussions with President Xi on Thursday morning will focus on global affairs and bilateral relations, followed by a banquet lunch. However, the Russia-Ukraine war is likely to arise
because of Beijing’s close ties with Moscow, which has been a thorny issue for Brussels.

“You can expect the EU addressing Russia’s war in Ukraine,” a senior EU official told reporters in Brussels on July 18. “China, of course, talks to us often about core issues. Well, this is a core issue for Europe.
It’s an issue fundamental to European security,” the official added.

In an address to the European Parliament earlier this month, von der Leyen also accused China of “de facto enabling Russia’s war economy”.

Brussels has sanctioned several Chinese companies for facilitating the supply of goods which are used for weapons production in Russia, and on July 18, the EU also slapped sanctions on Chinese banks for the first time,
for reportedly financing the supply of such goods.

China has rejected such accusations and warned of retaliations. Beijing has also reiterated that its position on the Ukraine war is all about “negotiation, ceasefire and peace”.

But according to an article by the South China Morning Post, during a meeting with the EU’s foreign policy chief, Kaja Kallas, in early July, Chinese Foreign Minister Wang Yi said Beijing did not want to see Russia
lose the war in Ukraine, since the United States would then focus on China.

“For China, having good and close relations with Russia is of utmost importance to increase its own strength in the global context. They will not sacrifice this relationship,” he said.

“This is the most important negative factor which has impacted the overall [EU-China] relationship,” he added.

The EU leaders will meet Chinese President Xi Jinping on Thursday morning, and Premier Li Qiang will co-chair the 25th summit between the two parties, the Chinese Ministry of Foreign Affairs told reporters in Beijing
on Monday. A Chinese Foreign Ministry spokesperson added that after 50 years of EU-China development, their ties “can cope with the changing difficulties and challenges”.

Besides the Ukraine war, EU officials in Brussels said, the 27-member bloc will also discuss tensions in the Middle East and other security threats in Asia.

 

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