Europe must defend its “strategic interests” in its economic relations with China, President Emmanuel Macron said in an interview with The Economist published on Thursday, just days ahead of Chinese President Xi Jinping’s state visit to France.
The French president spelt out his vision for a radically different European economic system with less regulation, more investment, and better trade protections to re-balance relations with China.
Calling for an “awakening”, Macron said China does not respect the rules of international trade, and the United States has stopped trying to make them, leaving Europe unprepared to defend its own economic interests and national security.
“We need to be even more powerful, stronger, more radical,” said Macron, who will welcome his Chinese counterpart on the state visit on May 6 and 7.
“We must do everything we can to engage China on major global issues and discuss economic relations based on reciprocity,” he added.
Advertisement – Scroll to Continue
He said “we have to be very pragmatic and look at this issue in the light of our strategic interests”, adding this would be one of his “main objectives” when Xi comes to France.
While acknowledging that Europe must “behave respectfully with China on trade,” Macron defended the European Commission’s probe into the subsidies China grants its electric vehicles sector.
Brussels argues these subsidies allow Chinese firms to offer “artificially low” prices and accuses Beijing of distorting competition.
Advertisement – Scroll to Continue
During the visit, Xi is expected to push back on investigations into China’s industry, which Beijing has slammed as “protectionism”.
The French president also called for Europe to follow China’s footsteps in industries closely linked to national security.
“There are many sectors in which China requires producers to be Chinese, because they are too sensitive. Europeans must be able to do the same and say that some sectors fall within the scope of European national security,” he said.
Advertisement – Scroll to Continue
Xi’s visit to France will be followed by trips to Serbia and Hungary, marking the Chinese leader’s first European tour since the coronavirus pandemic.
Major international crises, particularly the war in Ukraine, are also expected to be on the agenda for Franco-Chinese discussions.
“It is in our interest to get China to weigh in on the stability of the international order,” said Macron.
“We must, therefore, work with China to build peace”, he added.
cf-ekf/sjw/cw