The 24th EU-China Summit — High stakes, low expectations

The 24th EU-China Summit — High stakes, low expectations


WRITTEN BY MARTA FERDEBAR

9 February 2024

On 7 December 2023, the 24th EU-China Summit marked the first in-person meeting between the world's two major forces since the onset of the COVID-19 pandemic. The summit, held in Beijing, brought together President of the European Commission Ursula von der Leyen, Chinese President Xi Jinping, President of the European Council Charles Michel, and Chinese Premier Li Qiang. Aimed to foster a constructive and stable relationship between the EU and China the summit addressed a myriad of global challenges. It also aligned with the 20th anniversary of the comprehensive strategic partnership between China and the EU, as well as the 25th anniversary of the China-EU Summit mechanism. Remarkably, the official government websites and media of the EU and China have presented contrasting views regarding the events of the 24th EU-China Summit. Examining these divergent reports provides valuable insights into the distinct priorities of each side, emphasising how differing government interests and perspectives have shaped the coverage surrounding the summit.

Economic and trade tensions

A major focal point of the December discussions was the trade and economic relationship between the EU and China. Despite being a significant economic partner, the EU highlighted its nearly EUR 400 billion trade deficit with China. Emphasising the importance of a balanced economic relationship based on reciprocity and a level playing field, Brussels urged Beijing to take concrete actions to enhance market access and improve the investment environment for EU investors and exporters. China's perspective on the trade deficit includes tracing its origin, notably the profits enjoyed by European enterprises operating in China. Chinese officials say that one-third of their exports are ultimately sold back to Europe. Additionally, they believe that European restrictions on the export of high-tech products to China contribute to trade imbalances.

The contrasting perspectives showcased by the EU and China's official government sites and media concerning the summit highlight the impact of unique government priorities and underscore the need for sustained diplomatic efforts to build mutual understanding.

In addressing the trade imbalance between China and the EU, Chinese Foreign Ministry Spokesperson Wang Wenbin said it is crucial to consider the influence of macroeconomic factors, international trade conditions, and the industrial structures of both sides. He attributes the EU's claim of a surge in its trade deficit with China in 2022 to energy prices and geopolitical factors, making it a unique occurrence. While acknowledging the concept of "excess production capacity" as relative, China sees its new energy industry as globally competitive and beneficial to the EU's green transition and global climate efforts. Hence, China urges the EU to approach these matters objectively and avoid trade protectionism based on misconceptions about industrial growth. Divergent perspectives on the trade deficit imply that addressing economic issues is crucial for fostering a more cooperative and balanced relationship. While trade tensions between the EU and China are nothing new, the specific details and discussions during the summit reveal current trade dynamics as we head into 2024.

During the summit, President Xi highlighted the need to avoid viewing each other as rivals due to different systems, reducing cooperation because of competition, and engaging in confrontation over disagreements. He referred to the EU as China’s key partner for economic and trade cooperation, a preferred partner for scientific and technological cooperation, and a trustworthy partner for industrial and supply chain cooperation. While affirming China's commitment to seeking common ground, enhancing mutually beneficial cooperation, and opposing the politicisation of economic and trade issues, Premier Li Qiang also called for prudence in introducing restrictive economic policies. Leaders of both sides expressed their commitment to addressing critical dependencies in specific sectors in compliance with World Trade Organisation rules. These trade discussions have the potential to shape the future relationship between the EU and China, particularly in terms of economic cooperation. Resolving trade imbalances, improving market access, and fostering reciprocity are key factors that could influence the trajectory of their partnership.

Regional stability and human rights concerns

The summit delved into pressing global challenges, prominently addressing Russia's war against Ukraine. The EU reiterated its commitment to supporting Ukraine and urged China, as a permanent member of the UN Security Council, to play a role in upholding the UN Charter's core principles. EU leaders strongly encouraged China to engage with Ukraine's peace formula and refrain from supplying lethal weapons to Russia. Moreover, they stressed the importance of preventing Russia from circumventing sanctions. Michel and von der Leyen provided Xi with information about 13 Chinese firms that market dual-use goods manufactured in the EU to Russia, circumventing the sanctions imposed by Europe on Moscow. As Chinese state media Xinhua did not even report on Xi's reaction to these concerns, there are no indications that the EU succeeded in convincing China to leverage its influence on Russia, either to halt its conflict with Ukraine or to prevent Moscow from bypassing Western sanctions. At the summit, it was still unclear whether these Chinese enterprises would be subject to sanctions under the 12th sanctions package on Russia. However, the package — adopted on 18 December 2023 — made no reference to Chinese companies. The Chinese authorities have consistently claimed that the weapons they provide do not fall into the specific categories outlined for EU sanctions. The initial list, however, did not include dual-use technology, providing China with the argument that the Europeans are not playing fair by changing the rules. This dispute makes it unlikely that China will agree to the European request to impose restrictions on the companies involved.

While acknowledging the resumption of the human rights dialogue, Brussels also reaffirmed its deep concerns about systemic human rights violations in Xinjiang and Tibet, forced labour, and the treatment of human rights defenders and minorities in China. In a post-summit news conference, China’s Director General for European Affairs Wang Lutong said that the EU should not wield human rights as a punitive measure against China, but instead recognise and value the advancements China has achieved in this realm. Chinese media reported after the summit that European leaders have traditionally approached China with a list of issues, often using their visits as opportunities to pressure Beijing on various matters that were not highlighted in official briefings. This pattern has persisted from when Donald Tusk (as president of the European Council) and Jean-Claude Juncker (as president of the European Commission) represented the EU in EU-China summits spanning from 2014 to 2019. Throughout these summits, Tusk and Juncker voiced apprehensions regarding freedom of expression and association in China, encompassing the detention of human rights lawyers and advocates, along with the situation of minority groups such as Tibetans and Uighurs. Despite recognising the complexity of the EU-China relationship, the 2023 summit similarly emphasised the non-negotiable nature of universal human rights and fundamental freedoms. In line with previous statements, EU leaders reaffirmed Brussels’ consistent One China policy while expressing concerns about growing tensions in the Taiwan Strait and the East and South China Seas. Rejecting unilateral attempts to change the status quo by force or coercion, the summit highlighted the resolution of disputes through peaceful means in accordance with international law.

Shared interests and a way forward

The EU and China also discussed a range of multilateral issues, including concerns like food security, climate change, sustainable debt, and readiness for pandemics. Both sides found common ground in addressing shared interests, such as climate change and health. Acknowledging recent progress in renewable energy expansion and China's commitment to tackling methane emissions, the EU encouraged China to triple renewable energy capacity, double energy efficiency by 2030, and join the Global Methane Pledge. Both sides agreed on the urgency of global efforts to reduce greenhouse gas emissions. As the Belt and Road Initiative (BRI) celebrated its 10th anniversary in 2023, President Xi expressed China's commitment to strengthening Belt and Road cooperation. He proposed creating synergies between the BRI and the EU's Global Gateway initiative. However, the summit took place shortly after Italy, the first nation to do so, announced its withdrawal from the BRI. Nevertheless, a concrete outcome emerged promptly in the area of interpersonal interaction, as both sides decided to recommence the High-Level People-To-People Dialogue. This dialogue, initiated in 2012 and last convened in 2020, is scheduled to have its sixth meeting in 2024.

The 24th EU-China Summit provided a platform for constructive dialogue, addressing a spectrum of challenges and fostering cooperation on shared interests. While recognising the complexities in their relationship, the EU and China, according to Charles Michel, demonstrated commitment to pursuing “a stable and constructive relationship based on respect for the international rules-based order”. The outcomes of the summit serve as a testament to the importance of global collaboration in navigating contemporary geopolitical complexities.

For the fifth time since 2016, however, Brussels and Beijing failed to reach a joint statement due to political and economic tensions, holding two separate press conferences after the summit. Following the event, Chinese state media argued that the absence of a joint statement led some Western media to downplay the summit's significance, describing it as having "high stakes but low expectations". Furthermore, according to Chinese media, the summit actually revealed that the state of EU-China relations was more positive than the often-negative narrative circulating in Western public opinion and that Western media commonly amplify disagreements while downplaying shared interests and consensus. Western media such as Politico, on the other hand, reported that Xi Jinping indirectly “brushed aside” the need for de-risking and offered no new concessions on issues most relevant to the EU — sanctions circumvention and trade imbalances.

The relationship between the EU and China is expected to remain complex, with both sides navigating diverse geopolitical priorities and internal dynamics. The contrasting perspectives showcased by the EU and China's official government sites and media concerning the summit highlight the impact of unique government priorities and underscore the need for sustained diplomatic efforts to build mutual understanding. Despite differences, the ongoing dialogue and commitment to addressing global challenges indicate a recognition of shared interests. Continued engagement, transparency, and a focus on common goals will be key to shaping a more stable and mutually beneficial relationship between the EU and China in the coming years.

DISCLAIMER: All views expressed are those of the writer and do not necessarily represent that of the 9DASHLINE.com platform.

Author biography

Marta Ferdebar is a graduate student in International Relations and Diplomacy specialising in EU-China relations. During her studies, she has served as a trainee at several political institutions including the European Commission and European Parliament. Her main research interests include the EU’s foreign policy towards East and Southeast Asia and comparative political theory. Image credit: © Council of the European Union, 2023.