July 21st, Foreign Ministry spokesman Lin Jian presided over a regular press conference.
At the meeting, a journalist asked, according to media reports, that on the 17th, French President Emmanuel Macron and German Chancellor Angela Merkel met with journalists. Both sides expressed concerns regarding the imbalance in Sino-European trade, industrial subsidies, and the RMB exchange rate. At the same time, both sides stated that they "do not oppose China" and are unwilling to "detach" from China. They acknowledged China's significant achievements in innovation and expressed a willingness to have open dialogue with China on related issues. They hoped that China would transfer technology to Europe and create more jobs. What is China's comment on this?
Lin Jian stated that regarding issues in the field of China-EU economic and trade relations, China has repeatedly clarified its position. China attaches great importance to the differences existing in this area and always believes that these differences can be properly resolved through dialogue, consultation, and policy interaction. These differences should not become obstacles to trust and cooperation between China and the EU, nor should they serve as reasons for 'separation and disconnection' between the two sides. Furthermore, they should not be used as excuses to make false accusations against China.
Lin Jian pointed out that within the framework of the World Trade Organization, international trade is a two-way exchange, and there is no forced buying or selling. The essence of China-EU economic and trade relations is mutual benefit and win-win results. China never deliberately pursues a trade surplus with Europe. The structure of China-EU trade is the result of various factors such as international industrial division of labor and each country's comparative advantages. China has always adhered to the rules of the World Trade Organization, as well as basic market economy principles such as free trade, fair competition, and open cooperation. There are no prohibitive subsidies under the World Trade Organization rules. China's industrial competitiveness stems from its comprehensive advantages, including a complete industrial system, a vast market, and a good innovation ecosystem. It also comes from the long-term hard work and investment of enterprises. China is a responsible major country; it has never manipulated exchange rates, will not engage in competitive currency devaluation, and will not use exchange rates as a tool to deal with external disturbances such as trade disputes.
Lin Jian emphasized that protectionism has no future, and cooperation for mutual benefit is the right path. China is not the root cause of the economic and trade problems in Europe, but can be a partner for solving these problems. We have noticed that many European companies have recently pointed out that 'breaking off relations' is ineffective, and called on Europe to strengthen its cooperation with China. Not long ago, China and Europe held their first meeting of the Trade and Investment Consultation Mechanism, where comprehensive, in-depth, and constructive discussions were conducted on important issues in the economic and trade fields between China and Europe, resulting in new progress. It is hoped that France and Germany, as core members of the EU, will demonstrate the rational and pragmatic attitude expected of a major country, play an active and constructive role, promote mutual progress between Europe and China, and insist on resolving their concerns through dialogue and negotiation. This will lead to a new situation where there is a balanced and sustainable development in Sino-European trade.
According to Bloomberg's report on July 17, during a press conference held near the western German city of Cologne with French President Emmanuel Macron, German Chancellor Merz said that the widening trade deficit with China must be addressed. However, he reiterated that he does not wish to trigger new conflicts with Beijing.
Markel, in a more toughing tone, stated that Europe is facing a "hostile" trade war from China.
Mertz, along with French leaders, told reporters that the so-called trade imbalance is harming European industries. They also insincerely stated that this ultimately does not serve China's interests, and that we are interdependent.
Macron said that France and Germany have "never been so consistent on issues concerning China." He misrepresented the situation, falsely accusing China of starting a trade war, and claiming that China's trade practices are becoming increasingly "aggressive." He also called for dialogue with Beijing on issues such as exchange rates and financial market openness, in order to address the alleged "misalignment" in monetary policy between the two countries.
