Mikołaj Wozniak, Konrad Falkowski
5.05. Xi Jinping in France
May was launched with a custard as regards relations between the European Union and the People's Republic of China. May 5 to Paris He's here. – as planned – president Xi Jinping on an authoritative visit, during which he met not only French president Emmanuel Macron, but besides European Commission president Ursula von der Leyen. The Xi choice, which fell on France as the first of 3 stops during the May tour of Europe, was not accidental. The president of the PRC was well aware of the ‘potential’ of France. And he did not accidentally miss Germany. This omission can be considered a kind of Beijing triumph, as it considered that Germany is already sufficiently and appropriately geared to it in the context of bilateral and EU-China cooperation. Besides, Xi Jinping thus showed Macro how much he appreciates his individual and the country he is the leader of. In this way, he wanted, it can be said, to stimulate the "French superiority" surrounded by a deep-rooted French anti-Americanism manifested in France's and the EU's visions of independence, more precisely strategical autonomy. All of this can be brought back to the EU's "derisking" policy, which is to reduce the dependence of EU associate States on the Chinese economy. This policy, which has late been mostly manifested in the form of increasingly fresh anti-subsidies investigations, is simply a major problem for China and the continuity of economical expansion in the European market. Therefore, a two-day visit to France by Xi can be defined as an effort to break the prevailing "derisking" trend in the European Union, especially before the European Parliament elections. Before the bilateral talks between Macron and Xi, there was besides a discussion with the president of Von der Leyen. During trialogue 3 key issues have been addressed, i.e. global issues, in peculiar conflicts in the mediate East and Ukraine, trade between the EU and the PRC, and relating to cooperation to tackle global challenges specified as climate change and the financial situation in the poorest countries in the world. Moreover, Macron and Von der Leyen They appealed to his Chinese co-talker about the request for much more "balanced" Chinese trade with Europe, but, as it turned out, Xi was not keen to propose fresh concessions. Following these talks, the authoritative state visit of Xi to France began. The discussion between the 2 leaders afraid issues of bilateral relations between France and China and burning issues related to the mediate East and Ukraine. Macron Thank you Xi for "his open approach to temporary measures concerning cognac and his desire not to implement them" – this refers to the prevailing Chinese restrictions on French alcohol. At the moment, China is not to impose taxes or duties until the end InvestigationsThe way it goes on. Importantly, this visit signed 18 agreements and agreements on cooperation between French and Chinese companies. The nature of these agreements afraid mainly the aviation, transport, energy and financial sectors. However, these are not agreements that would constitute a milestone in bilateral relations. In addition to the agreements, 4 joint declarations were announced. The most interesting of them referred to Middle East. Both sides declared the request for UN safety Council cooperation to end the conflict in Israel and sided with the concept of 2 states in Palestine within the limits set in 1967. Additionally, Macron and Xi confirmed France's and China's commitment to an agreement on Iran's atomic programme. They besides called on the feudal parties to "observate the Olympic truce at the summertime Olympics and Paralympics", which should be treated more as a symbol than a real action. 3 more dealt with bilateral field cooperation issues artificial intelligence and planet affairs management, ocean biodiversityand Agriculture. With respect to the issue of war in Ukraine, president Macron, like the another European leaders recently, did not have much effect on president Xi and his view on this issue. Macron's words, in which he thanked the president of the PRC for his "commitments to refrain from selling any weapons, or to supply any "help" to the Russian Federation to support the Kremlin. Xi in turn made it clear not to carry the burden of this conflict to China, and warnedto "do not slander China" in connection with the "crisis in Ukraine": "We argue the usage of the crisis in Ukraine to blame, slander the 3rd country and incite the fresh Cold War". He besides stressed that the PRC inactive plays a affirmative function in achieving peace. The terms "crisis" or "new cold war" were besides repeated in official communication on the Chinese MFA website. This is mainly evidenced by the fact that in the context of the war in Ukraine China is inactive maintaining its current course. Second day visits were little formal, but more symbolic. Macron invited Xi to Hautes-Pyrénées, which was expected to be a kind of thank-you for Macro's last year's invitation to Canton, close to him. According to the French authoritative message, "this format allowed for a more direct and frank exchange of views". In analysing this event, various conclusions can be reached – both affirmative and negative. The conclusion was presented by experts from the Polish Institute of global Affairs, Marcin Przychodniak and Amanda Dziubińska. Theirs. according to "France will proceed to support the implementation of the "derisking" by the next EC to increase the chances of French companies competing with the PRC". However, according to POLITICO writer Clea Caulcutt, French cognac is “the only thing that went smooth from Xi’.
7.05. Xi Jinping in Serbia
Serbia as the first European country to sign the agreement "Common Future" with the People's Republic of China. This event was connected with the tour of China's leader Xi Jingping in Europe, who arrived in Belgrade on the symbolic day of 7 May, that is on the 25th anniversary bombing Chinese embassy in Belgrade via American jets during NATO run against erstwhile Yugoslavia. The intent of Xi's visit to Serbia was to meet Serbian authorities, especially with president Alexandar Vučić. During the visit, the parties stressed that they had a ‘iron friendship’, based to respect the common vital interests of both countries regarding Taiwan and Kosovo, to deepen the "traditional friendship" concerning ideological ties based on the socialist past and resentment towards western values and the desire to build economical ties. The Chinese delegation's visit with Xi at the head was topped by signing 29 contractsto advance legal, regulatory and economical cooperation. These included issues specified as the implementation of the Belt and way Initiative, extradition, customs and scientific-technical cooperation, mining and geology, communication, agriculture, information policy and media cooperation. Serbia is besides to become the first European country in many years to have an existing free trade agreement with China. Signed in 2023, it will enter into force on 1 July this year. China is now the largest investor in Serbia, and their investments have increased 30 times over the last decade. Chinese companies manage Serbia's largest copper mine and Smederevo ironworks, build dozens of roads and highways across the country and a railway line connecting Belgrade to Budapest, which, despite delays, is due to be completed in 2026. Serbian-Chinese cooperation in the safety sphere is besides noticeable. Belgrade is the sole user of Chinese drones, weapons and missile systems HQ-22 "Hong Qi" in the region. According to statements from February this year, Serbia is curious in further acquisition Chinese drones and related technologies to produce their own drones in the future called ‘Pegas’.
8.05. Xi Jinping in Hungary
Another destination in the European tour of Xi Jinpinga was Hungary. Between 8 and 10 May Xi held meetings with Hungarians Officials: Prime Minister Viktor Orban and president Tamás Sulyok. As a result, 18 contracts and letters of intent were signed, and the rank of Chinese-Hungarian relations with level "Complete strategical Partnership" for "Complete strategical Partnership for all Weather in a fresh Era". akin agreements have already been signed by previously mentioned Serbia, as well as Pakistan, Belarus, Venezuela and Zambia. The agreements concluded concern first and foremost development of cooperation in the field of finance, modern technologies, artificial intelligence (AI), green technology, mobile communication technologies, including 5G networks, atomic power development, tourism and culture. On the last issue, Beijing's commitment to atom sphere may be related to the atomic power plant being built Paks II by the Russian company Rosatom. Although the task missed Western sanctions, the broader safety context in Europe has complicated Russia's ability to carry out the task. Due to delays and losses generated by this initiative, Hungary has decided to diversify and find an alternate partner in this area, China. During the meetings, the parties stressed that they would make advancement in implementation key projects including: reconstruction of the Budapest-Belgrad railway project, construction of a freight railway line around Budapest, as well as a fast railway connecting the centre of Budapest to Ferihegy airport. These projects are related to the parties' activities concepts: Hungarian strategy «Opening to the East"which assumes beginning up to a direct abroad investment from Asia and corresponding Chinese investment The Belt and way Initiative, which focuses on the improvement of infrastructure (railway and maritime routes) linking the countries of Asia, Europe and Africa. An additional issue is the establishment of a joint investment committee for phytosanitary cooperation, which aims to increase the availability of Hungarian agricultural products on the Chinese market. An example of this is the import of Hungarian fresh cherries China. During the increasing antagonism among the EU countries towards Chinese economical expansion, Hungary and China, as president Xi said, are embarking on "A Golden Journey“ in bilateral relations. Their strengthening is already noticeable since 2010, after Viktor Orban came to power, who, in addition to cooperation in the economical field, supports Chinese abroad policy and the imagination of safety in the world, or more specifically supports China's position towards the Russian-Ukrainian conflict. The current consequence of the improvement of relations is planned and implemented investments, including the building up of battery factory CALT in Debrecen worth EUR 7.3 billion and planned car factory BYD in confederate Szeged. China is besides developing cooperation with Hungary on the level of public safety and law enforcement, an example of which is the presence of Chinese police on the Hungarian streets, which was further explained in March "ReviewIt’s okay. ”
8.05. German automotive tycoons inform the European Union
On May 8, the heads of German automotive companies specified as BMW, Mercedes-Benz and Volkswagen spoke out loudly fears Before deepening the tension between the European Union and the People's Republic of China. This is, of course, about the imposition of EU tariffs on imported electrical vehicles originating in China. In their opinion, this could aid torpedo Green Deal assumptions and harm local car manufacturers who import cars produced by Chinese companies. Quoting the words of BMW CEO Oliver Zipse, the EU could “take a fast shot at its foot” with this move. In the context of the Green Deal, he suggested that the plan was impracticable "without resources from China". Volkswagen president Thomas Schäfer for “Financial Times” stressedthat the Union should number on a firm consequence from Beijing, saying that "there is always any form of retaliation". The words spoken by these CEOs of the largest German brands do not fall for a reason. It is, however, a wide dependence on the supply of components and economical relations. The expanding trade conflict between the EU and the PRC will lead to a first impact on the largest car manufacturers, as already warned by the Financial Times in September 2023. The current EU policy course led by Ursula von der Leyen makes European companies, in this case German, dependent on China and effort to reduce the implementation of the strategy. But on the same day, president of the European Commission said"China must be stopped from flooding the marketplace for electrical vehicles". During her speech in Berlin, she made it clear that “fair competition is good. We don't like China flooding our marketplace with massively subsidised electrical cars. And we gotta face it, we gotta defend our industry." Thus there is simply a clear conflict between policy and business, which does not favour the European Union as a whole. The EU needs consistency in all aspect to be able to be a real force and political and economic, all the more so in these dangerous times, among the many geopolitical turmoil and increasing conflicts between the biggest players on the stage.
14.05. Germany and Sweden do not want to go to trade war with China
The problem of possible EU tariffs on Chinese goods became louder especially erstwhile United States president Joe Biden announced on May 14 new duties on the People's Republic of China, which can rightly make it clear that the planet is becoming the world's home to another circular of trade war between the 2 top powers in the current global system. The fresh restrictions scope from 25% to 50% on Chinese industrial, medical and technological goods. However, the biggest blow to Beijing is the imposition of a 100% tariff on Chinese electrical vehicles. The European Union, being an ally of the United States, besides feels the negative impact of Chinese car flooding (and not only) subsidised by the Chinese government, which contradicts the rule of fair competition. Nevertheless, the leaders of European countries, specified as German Chancellor Olaf Scholz and Swedish Prime Minister Ulf Kristersson, believe that specified a improvement is peculiarly unfavourable. Kristersson at a joint conference with Scholz in Stockholm, asked about the prospects of imposing tariffs on Chinese cars, He said: "This is simply a fundamentally bad thought to dismantle global trade", further adding: "The wider trade war in which we block each other's products is not the way of success for industrialised countries specified as Germany and Sweden". He suggested that Europe should not search the field of conflict with China, but alternatively search an agreement which could be suspected to further deepen the dependence of the European economy on China. The German Chancellor, who is increasingly in line with the narration of German business, as illustrated by his last journey to China, notedthat half of the electrical vehicles imported from the People's Republic of China were manufactured by Western producers. He besides stated that there are both European and American producers “who win in the Chinese marketplace and sale their vehicles in China”. It may be assumed that this was mainly about German producers, but can not be amazed due to the fact that giants like Volkswagen or BMW are pillars of the economy Germany and natural is that Scholz defends their interests, which coincide with the interests of the full state. But this convergence does not necessarily gotta happen erstwhile the full of the European Union is concerned.
16.05.EU investigations into trade in tinted steel and wooden floors
16 May European Commission Initiate investigation of flat-rolled products of iron or steel, clad or coated with Chinese tin. The intent of this investigation is to measure whether products imported into the European Union are sold at besides low prices. This action was taken following a complaint lodged by the European steel association Eurofer. The main allegation against Chinese producers is that they benefit from distorted natural material prices. As the Commission informs, the investigation is to be concluded within 14 months and the possible imposition of provisional duties may happen within the next 7-8 months. On the same day an import investigation was initiated wooden floors in consequence to a complaint lodged by the European Parquet Federation. The subject of the survey will be multi-layered wooden level panels, whereas bamboo panels or panels with top bamboo layer as well as mosaic floors will be excluded from the investigation. These investigations are part of a series of further EU investigations into the subsidy of Chinese exports and activities of Chinese companies in Europe by the Chinese government. In consequence to these actions, Beijing stated that EU and US accusations were unfounded and hit Chinese manufacture and future exports. 18 May Chinese side announcedChina has "sufficient countermeasures" to take retaliation if the EU continues to do so. According to Eurofer, investigations are an crucial step in restoring a level playing field. The association added that the EU manufacture lost a 4th of its sales volume between 2021 and 2023, while Chinese imports more than doubled at the same time.
19.05.Chinese anti-dumping investigation against plastics
Chinese Ministry of Commerce started On 19 May, an anti-dumping investigation concerning a copolymer of polyoxyethylene – thermoplastics imported from the European Union, the USA, Japan and Taiwan, which is utilized in the consumer electronics and automotive industry. Beijing's decision is action Retaliatory in relation to protectionist trade policies implemented by the EU and the USA. For the EU, this is related to its investigations into the Chinese government's production subsidies. According to the Chinese side, the investigation should be concluded in a year, but it is possible to extend it for another six months.
19.05 AfD candidate for EP criticises European "paranoia" in the context of China
Maximilian Krah, the leading candidate of the German utmost right to the European Parliament, is not forgotten. In the April edition of “Review” we described loud A spy affairThat he was indirectly active in. His assistant Jian Guo, who was to spy on the PRC and supply information on the meetings of the European Parliament and Chinese dissidents surviving in Germany, was straight involved. On 19 May, Krach again appeared in the media in the context of the relations between Europe and the People's Republic of China. Name stated he, referring to the fresh confusion that “currently all Chinese is suspected of espionage”, reproving his own words that “this is complete paranoia”. Moreover, Krah added that European states should not teach Chinese people about human rights and their interior policies due to the fact that "The West should realize that it does not regulation the world". However, no 1 should be amazed by specified slogans cast by an alternate typical for Germany, as already in 2023 the German portal T-Online.de published reportin which Krah's ties to the Chinese state were widely characterized. A very interesting reflection he shared in his article Tim Hildebrandt. In his opinion, "China-friendly Krah's attitude and his ties to Beijing reflect a wider trend in AfD, and the prognostic attitude may become a hallmark of the party's abroad policy platform". This text published in June 2023 is found in the current reality. It may be suspected that further ties between Krah and his organization with Beijing will come to light in the following months, as well as his prognostic disposition.
20.05. German automotive companies and Chinese forced labour problem
On May 20, the American legislature released more than 100 pages report from an investigation carried out, which resulted in German automotive companies, specified as BMW, Jaguar and Volkswagen, importing vehicles and parts, and producing them from components made by a Chinese supplier who utilized forced labour. Ron Wyden, president of the financial legislature committee that conducted the above investigation, He said Directly: ‘BMW imported cars, Jaguar Land Rover imported parts, and Volkswagen AG produced cars that all contained components made by a supplier that was banned from utilizing Uighur forced labour’. The study besides shows that BMW brought in 8,000 Mini Cooper cars, which had parts in them from the Chinese supplier Jingweida Technology Group (JWD). This company since 2021 under the Uyghur Forced labour Prevention Act (UFLPA), i.e. the Uyghur Act, is prohibited from exporting goods to the United States. According to the information contained in the BMW report, it continued to import products with banned parts at least until April. As for the another 2 German companies, Jaguar Land Rover was to import spare parts, including components manufactured by JWD, even after the car maker was informed of the presence of a problematic product in its supply chain. Volkswagen revealed to the U.S. border services that the shipment of his vehicles contained parts produced by JWD. All companies tried explain All the fuss. In his email, BMW reported that "steps were taken to halt imports affected by the product problem". In the case of Jaguar, the company stated that "it immediately halted all deliveries of 2 affected spare parts", and Volkswagen, like another German companies, stated that the problematic parts were listed in vehicles delivered to the US and that "it takes human rights violations very seriously and undertakes to prevent forced labour in our supply chain".
25.05. Italian Minister of manufacture urges EU to join US tariffs on Chinese goods
As mentioned earlier, in May this year the US imposed higher tariffs on Chinese goods, including batteries for electrical vehicles (EV), computer chips and medical products. Due to these effects, votes encouraging the European Union to take akin steps. Adolfo Urso, an Italian industrial minister who, on 25 May, said that the European Union should follow the example of the United States and defend its manufacture by imposing duties on Chinese products, in peculiar electrical cars. He argued that the sharp increase in US tariffs could lead to a redirection of Chinese exports to Europe, which could weaken European industry: "Higher duties on Chinese products are inevitable if we do not want to bring about the complete demolition of European industry," Urso said at a business conference. The EU is presently the largest recipient electrical vehicles, importing almost 500,000 vehicles in 2023, accounting for almost a 3rd of the full exports of electrical vehicles from China.
31.05. China warns the EU
On the last day of May, Beijing decided to usage it to send warnings to Brussels on future customs duties on Chinese electrical cars which the European Commission intends to implement. To this end, the Chinese Ministry of Commerce sent a peculiar letter to the EU Trade Commissioner Valdis Dombrovskis. According to POLITICO, this letter states that the Chinese are calling for Europe to reset its rules, which is expected to indicate Chinese annoyance over the increased number of commercial investigations that have been initiated in fresh months by the EU authorities, and calls for a "reserve." This truce would reduce further escalation of tension in bilateral relations. Nevertheless, the Chinese did not halt with only warnings. They besides announced a retaliation that would "start" with aviation and agriculture. It is worth to add here that the day before, i.e. on 30 May, during the press conference, a spokesperson for the Chinese Ministry of abroad Affairs Mao Ning was asked by a typical of the Agency Reuters about the consequence the ministry envisages in the context of postponement of the European Commission's decision on Chinese tariffs for electrical vehicles until the elections of 9 June. Ning first indicated that the People's Republic of China had already expressed its position on respective occasions about the EU investigation and defined the nature of this kind of action as "protective". There are further words that can be considered as a foreword to Dombrovskis: "China calls on the EU to complete the investigation as shortly as possible so as not to disturb economical and trade cooperation between China and the EU and the stableness of industrial chains and supplies. If the EU insists on continuing its investigation, China won't just sit by and watch. We will take all essential measures to defend our rights and interests." This shows that the tensions on the Brussels-Pekin line are increasing, especially erstwhile each side sees its point. The only question is whether the European Union is able actually cross trade swords with China.
