Zhang Xiaoqiang Conducts Exchanges with the EU Chamber of Commerce in China

On 13 December, 2021, Zhang Xiaoqiang, Executive Vice Chairman of CCIEE, met with the delegation of European business in China led by Jörg Wuttke, President of the European Union Chamber of Commerce in China, upon invitation, exchanging views on China-EU bilateral economic and trade relations, China-EU cooperation on green development, technology standardization, travel restrictions during the pandemic and Central Economic Work Conference.

Wuttke briefed Zhang Xiaoqiang on European Business in China Position Paper 2021/2022, saying that despite of political disputes, economic and trade cooperation is still essential to the EU-China relations. He expressed the hope that the EU and China could walk towards each other, address climate change with joint efforts, safeguard the stability of global supply chain, facilitate cross-border travel under the background of the pandemic, and strengthen cooperation on setting standard, so as to develop healthy and stable EU-China economic and trade relations.

Zhang Xiaoqiang extended gratitude to the Chamber for its good partnership with CCIEE and positive contributions to a healthy development of China-EU economic and trade relations. Suggestions put forward by the Position Paper are in line with the major points of Central Economic Work Conference. Therefore, it was expected that the two organizations can further enhance cooperation.

Zhang Xiaoqiang pointed out that the COVID-19 pandemic and economic recession worldwide brought huge impact on global industry chain and supply chain, on top of which geopolitical and diplomatic factors further hindered the recovery of global economy, trade and people-to-people exchanges. However, just as what the Chinese government and experts stressed on many occasions, China will insist on opening up and the door will be more and more open. China will give a full play to the role of domestic market in pursuing high-quality development, and based on which formulate an open economy of higher level. China has applied for and participated in bilateral and regional trade agreement in a proactive manner, vigorously constructed free trade zones and harbors, shortened the negative list for foreign investment step by step, and realized strong growth in both foreign trade and foreign investment against the severe recession of global economy. Chinese government has attached great importance to sustainable economic recovery and green and low-carbon development. In accordance with the national conditions, China will set up sound mechanism for new energy, and meet the needs of social development while replacing the traditional energy with the new ones gradually. China has tremendous demand for clean energy, meaning that there is huge room for China and the EU to collaborate on green development.

Zhang Xiaoqiang indicated that the COVID-19 pandemic has driven many countries to rethink of the security of industry chain and supply chain, even the reshaping of them. Although the integration of regional economy is intensifying, it is positive given the background of economic globalization. Changes may take place in global industry chain, but it is an adaption to global production and labor division and a constructive measure to secure the stability of industry chain and supply chain in the future. China’s strengthening resilience of industry chain and supply chain is by no means simply self-sufficient, but to improve its own core competitiveness while enhancing and optimizing cooperation on industry chain with other countries. With regard to setting standards, China stands firmly against the actions by the U.S. to unilaterally sanction Chinese technology companies in name of national security. What the U.S. did would not only harm the development of global economy, but also divide the global information network into two parts. China welcomes engagement of foreign enterprises in development and innovation of digital economy, fostering interconnected international standards that demonstrate technological characteristics of different countries and mutual respect through consultation. China should continue the development of standard setting. The pandemic highlighted the bright prospect of industries represented by new-generation information technology, at the same time expose the absence of rules for the new business form. In an era that data has become a production factor, countries all around the world should appropriately handle the balance between development and security. Based on the development of domestic information technology, China will improve the regulation and management, boost international exchanges and communication, facilitate better consensus to be reached by different countries in data regulation while encouraging foreign companies to contribute to China’s digitalization innovation.

Zhang Xiaoqiang viewed that Chinese government will continue the practice of “dynamic zero COVID”, and control and manage the pandemic and cross-border travel strictly and restrictedly. China is vast in territory and large in population, therefore easing the travel restriction would probably lead to surge of infection rate, a result which cannot be afforded by China’s economy, society and healthcare system. Currently, Chinese government is negotiating “quick pass” with other countries, in pursuit of carrying out specific plan as soon as possible.

The management officers from EU companies in China, including Volkswagen, Knorr-Bremse, Merck, Infineon and SAP, and heads of CCIEE’s International Exchanges and Cooperation Department and Institute of American and European Studies attended the meeting.