Chinese leader Xi Jinping has called on Germany to put the brakes on the European Union's suffocating trade war with Beijing.
In a conversation with German Chancellor Olaf Scholz, Xi attacked the EU's economic security strategies and urged Germany to remain open to Chinese investment.
"[I hope] that Germany will insist that the European Union uphold the principles of market and fairness and work with China to guarantee fair market competition and fair trade, as well as stable industrial and value chains," the Chinese president told Scholz, according to the Chinese state news agency Xinhua.
The European Commission has launched an investigation into government subsidies for Chinese-made electric vehicles. Although Xi did not mention the inspection, the move prompted a senior official to ask the EU to "exercise restraint in the use of trade remedies". Brussels is also facing calls to review state subsidies for China's wind energy and medical devices sectors.
Xi is expected to meet with Ursula von der Leyen and Charles Michel, heads of the European Commission and the European Council, by the end of the year. EU Internal Market Commissioner Thierry Breton will visit Beijing and Hong Kong next week.
Beijing's growing focus on ideology, coercion on US allies such as Japan, Canada and Lithuania and an assertive stance on Taiwan have forced EU governments to focus on so-called "de-risking" of the bloc's relations with China. Just this week, the prime ministers of the Netherlands and Ireland - which have huge trade ties with China - are touring countries from Malaysia and Vietnam to South Korea, looking for alternative markets in Asia.
Xi appears concerned that the EU is toeing the US line on China as he travels to the US to meet with President Joe Biden amid intensifying competition between the world's two largest economies.
"The relations between China and Europe are of key importance for the stability of the world order and the prosperity of the Eurasian continent," said Xi. "China views Europe as a comprehensive strategic partner and an important pole in a multipolar [world]". The mention of a multipolar world is Beijing's general attack on what it sees as the world order favoured by the US.
A short statement from the chancellor's office said that Scholz "exchanged views on bilateral relations and cooperation in the economic sector" with Xi.
According to Xinhua, Scholz expressed interest in "the deepening of German-Chinese relations" and "the biggest successes of German companies in China", without specifically mentioning his position on relations between the EU and China. /BGNES
