Beijing (TDI): French President Emmanuel Macron has pressed Chinese leader Xi Jinping to enhance collaboration across geopolitics, trade and environmental issues.
This appeal comes as the European Union seeks China’s assistance in bringing an end to the war in Ukraine, while Beijing attempts to secure economic advantages amidst US tariff pressures.
During his fourth state visit, Macron is navigating a sensitive path: to reduce France’s substantial trade deficit with China and safeguard domestic industrial employment to boost the political achievements, all without alienating the world’s second-largest economy.
China, conversely, is looking to ease commercial tensions with the EU, particularly concerning its heavily subsidized electric vehicle (EV) industry. Simultaneously, it is positioning itself as a more dependable market to economies facing difficulties due to President Donald Trump’s tariffs on the U.S.
“The imbalances we see accumulating today are not sustainable, they carry the risk of triggering a financial crisis and threaten our ability to grow together,” Macron cautioned Xi at their Thursday meeting in Beijing’s Great Hall of the People.
He asserted that “There are solutions,” advocating for regulations that are fairer and stronger rather than promoting “survival of the fittest.”
Read More: Xi Calls for Broader China-France Cooperation
Xi responded by stating that both nations should pursue their own geopolitical trajectories. He emphasized, “Regardless of how the external environment changes, our two countries should consistently demonstrate the independence and strategic vision of major powers.”
Despite this, no significant business agreements were formalized during the ceremony between the two leaders, even with Macron accompanied by a large business delegation.
Notably, there was no mention of a long-discussed order for a package of 500 Airbus jets. Analysts suggest Xi was unlikely to approve the order, as doing so would lessen Beijing’s leverage in ongoing trade negotiations with the U.S, which is pushing for new Boeing commitments.
Macron’s delegation included top executives from major French firms: Airbus, BNP Paribas, Schneider and Alstom, alongside leaders from the French dairy and poultry sectors.
Xi is scheduled to accompany Macron to Sichuan province on Friday, a rare level of courtesy, as Xi seldom joins visiting leaders outside of Beijing. Macron has previously extended similar provincial hospitality to Xi in France.
Read More: Macron Set for Fourth State Visit to China Amid Global Challenges
Analysts, however, note that despite the apparent goodwill, wider power dynamics between Europe and China are in effect, where ongoing economic disputes are intricately linked to geopolitical strategies.
Analysts believe China is utilizing trade leverage against the EU’s tariffs on Chinese Electric Vehicles (EVs) and Xi is unlikely to lift the minimum pricing on French products or ease duties on EU pork shipments, using both as pressure to force Brussels into accepting a minimum price scheme for Chinese EVs.
Despite this friction, both sides did agree to deepen cooperation in key sectors like aerospace, nuclear energy, AI and the green economy, signing 12 cooperation agreements on issues from population aging, though without disclosing the monetary value.
The visit also highlighted France’s concerns over the widening trade imbalance, the EU’s deficit has grown nearly 60% since 2019 and Beijing’s threat to restrict exports of critical minerals, essential resources for European car and semiconductor industries.
Tayyaba Arif
Tayyaba Arif is a student of International Relations, and takes keen interest in conflict reporting and the dynamics of regional and global affairs. She is especially committed to SDG 17, and believes in effective partnerships and promoting cooperative initiatives. She can be reached at tayyabarrif0@gmail.com
