Paris, France – Chinese President Xi Jinping arrives in Europe on Sunday for a six-day visit aimed at easing escalating tensions that could spark a trade war between China and the European Union (EU). This trip marks Xi’s first visit to the region since 2019, where he is expected to engage in tough discussions with French officials about trade and Ukraine before moving on to Serbia and Hungary, where Chinese investments have highlighted the benefits of close ties with Beijing amid EU divisions on international policy.
Analysts anticipate a charm offensive from Beijing, with Xi aiming to address concerns and counter trade investigations by the EU into Chinese companies. Particularly, a looming anti-subsidy probe into electric vehicles is of great concern, with potential tariffs on Chinese EV imports ranging from 15 to 30 percent. The president’s primary goal during this visit is to prevent further deterioration of the relationship between Europe and China and alter the current trajectory of their relations.
French President Emmanuel Macron has expressed the need for greater reciprocity in trade with China to secure France’s economic security. Macron highlighted the challenges of China’s excess capacity in various sectors and massive exports to Europe. While some European leaders see China as a market of opportunities, Macron stressed the importance of protecting national security and sovereignty while defending the interests of Europe.
Xi’s visit is also expected to address the EU’s significant trade deficit with China and the challenges posed by Beijing’s limits on market access for European companies. The upcoming discussions in Paris are expected to be challenging, with Macron likely to raise concerns about Chinese actions, including investigations into French brandy imports. Despite the challenges, Xi’s subsequent visits to Serbia and Hungary are anticipated to be more positive, with China making significant investment promises in Hungary and considering potential projects like an EV plant.
However, Xi’s visit to Hungary is expected to stir controversy in Western Europe, as Hungary has been a vocal supporter of China’s interests within the EU. As tensions over Russia’s invasion of Ukraine persist, Chinese leaders view the US’s actions in Europe and pressure on China with suspicion. Despite efforts to encourage China to influence Russia’s actions, skepticism remains over Xi’s relationship with Russian President Vladimir Putin and its impact on the conflict in Ukraine. As Xi navigates through his European tour, the shadow of the Ukraine war looms large, shaping discussions and diplomatic relations on various fronts.