Xi Jinping urges Spain to play a constructive role in improving China-EU ties
Chinese President Xi Jinping urged visiting Spanish Prime Minister Pedro Sanchez to play a "constructive role" in improving strained ties between Beijing and the European Union. Sanchez, for his part, expressed hope that the EU could avoid a trade war with China, even as Brussels weighs imposing tariffs on China-manufactured electric vehicles.
During their meeting, Xi also discussed deepening commercial ties between China and Spain in sectors such as artificial intelligence, the digital economy, new energy, and other high-tech fields. He emphasized Beijing's desire to work with Brussels to further develop a China-EU relationship based on mutual independence and autonomy, while also achieving success and benefiting the world.
Sanchez responded by stating Spain's commitment to working constructively towards closer, richer, and more balanced relations between the two countries.
The meeting took place amidst ongoing trade tensions between China and the EU. In June, Beijing expressed concerns that the EU's proposed tariffs on Chinese electric vehicles could trigger a trade conflict. China subsequently launched retaliatory anti-dumping investigations into European pork imports and dairy subsidies.
Prior to meeting Xi, Sanchez emphasized Spain's desire for a negotiated consensus on the EV dispute within the World Trade Organization, stating that a "trade war would benefit no one."
Despite the tensions, a source with direct access to Xi's meeting with Sanchez reported that the two leaders found "harmony and understanding" regarding Spain's pork exports to China. The source also noted that both leaders defended their positions while seeking agreements.
Sanchez also expressed Spain's desire to build bridges and defend a fair trade order. He highlighted Spain's trade deficit and sought reassurance that China would not retaliate by raising tariffs on imported large-engine gasoline-powered vehicles.
During his visit, Sanchez is expected to meet representatives of SAIC Motor, a Chinese automaker affected by the EU tariffs, and sign a memorandum of understanding with green tech company Envision, which is building an EV battery plant in Spain.
The meeting between Xi and Sanchez underscores the complex relationship between China and the EU, marked by both cooperation and competition. The outcome of the ongoing trade disputes and the future of China-EU relations remain uncertain.