Dongxiq·chinadialogue丨Why is China's rise not a reason to isolate China?

　　China News Agency, Beijing, December 7th: Why is China's rise not a reason to isolate China?

　　Author Peng Dawei Chen Xuelian

　　On the 5th of this month, German Chancellor Scholz wrote an article in the American "Foreign Affairs" magazine, stating that China has become an economically strong and politically confident country.

He particularly emphasized that China's rise is not a reason to isolate China, nor is it an excuse to restrict cooperation with China.

How to understand Scholz's statement?

Why do you say that the "decoupling" and "economic dependence" on China that some people are clamoring for are false propositions?

As the head of government of Europe's largest economy, why does Scholz firmly oppose "decoupling"?

　　China News Agency's "East-West Questions · China Dialogue" invited Li Yuan, executive vice president of the Institute of International Studies at Shandong University, and Horst Löcher, director of the Sino-German Center for Financial Economics and economics professor at the Frankfurt School of Finance and Management in Germany.

　　Horst Löcher pointed out that German Chancellor Scholz opposes any form of "decoupling" between Germany and China, as well as between Europe and China. His recent visit to China "is a good sign."

Video: [Dongxiwen·chinadialogue] German experts talk about Scholz's visit to China: It shows that the political and business circles are willing to meet China halfway

　　According to Li Yuan's analysis, "decoupling" and "reliance on China" are used as political rhetoric in the West to restrict and contain China, which reflects that some German politicians do not trust China and even discriminate against China's investment.

He reminded that we should be alert to the exaggeration of such claims through the Western media, which will form the guidance of public opinion and mislead some countries' policies towards China.

He emphasized that for the two countries, the only correct choice is to maintain a long-lasting and close all-round strategic partnership between China and Germany.

Excerpts from the conversation are as follows:

Why is the first European leader's visit to China after the 20th National Congress of the Communist Party of China so special?

China News Agency reporter: What is the special significance of German Chancellor Scholz's visit to China?

Horst Löcher:

This is a very important visit by Chancellor Scholz.

He is very supportive of business and trade between China and Germany.

Chancellor Scholz opposes any form of "decoupling" between China and Germany and China and Europe.

Most importantly, it has been a long time since the last time a foreign leader visited China and had a dialogue with the Chinese government.

So it's a good sign in these difficult times.

Li Yuan:

In recent years, the United States has been trying to put pressure on its European allies to be hostile to China and even "decouple" from China. This is likely to divide the world again.

Both China and Germany were victims of the Cold War. Therefore, both countries try their best to prevent the division of the world on the basis of the fundamental interests of the two countries.

Chancellor Scholz's visit to China can help European countries pursue a relatively independent foreign policy.

Sino-German cooperation and innovation can achieve a win-win situation

China News Agency reporter: Over the past 50 years, China-Germany cooperation has brought many benefits to each other and the world.

Today, the German media always emphasizes the competition from China.

Can Chinese and German companies maintain a win-win situation?

Or will the competition intensify?

Horst Lecher:

In the past 5 to 10 years, the situation has changed, which has a lot to do with the rise of China and the stronger competitiveness of Chinese companies.

In the first 20 to 30 years, German companies hired a lot of cheap labor in China to produce products and then export them to countries around the world.

This simple business model benefits German companies in China.

　　At that time, Germany’s two flagship industries—chemicals and automobiles—faced little competition, but the situation is completely different now. If some countries’ economic strength increases and science and technology become more mature, German companies will face more competition. But I don't think German companies will be afraid of competition. On the contrary, they can seize the opportunity of this competition and cooperate with Chinese companies to further develop innovative technologies.

Competition means business, so that's not a bad thing.

Video: [East Question China Dialogue] German Economist: German companies should compete with Chinese companies to develop innovative technologies

Li Yuan:

50 years ago, China and Germany broke the Iron Curtain of the Cold War, overcame ideological differences, and established diplomatic relations, which is crucial to building a multi-polar world order.

Facts have proved that Sino-German relations have been fruitful and will continue to bring benefits to the two peoples.

The bilateral trade volume between China and Germany has risen from less than 300 million euros in 1972 to more than 230 billion euros in 2021. China has been Germany's most important trading partner in the world for six consecutive years, and Germany has been China's largest trading partner in Europe for 47 consecutive years. .

　　Today, whether it is made in Germany or China, both provide consumers with high-quality goods, as well as investment opportunities and a large number of jobs.

In the past 50 years, adhering to the spirit of mutual respect, China and Germany have provided a model for mutually beneficial cooperation between countries with different social systems, cultures and development stages.

In addition, both countries strongly support multilateralism and oppose trade protectionism. Through cooperation, the two countries can help the world find a path of peaceful development and mutually beneficial cooperation.

"Belt and Road" can bring greater opportunities for Sino-German cooperation

China News Agency reporter: 2023 will be the 10th year since China proposed the "Belt and Road" initiative. How do you view its future development?

Li Yuan:

After 9 years of rapid development, the "Belt and Road" initiative has become popular around the world and has become the world's largest and most extensive international cooperation platform.

The Belt and Road Initiative plays an important role in promoting inclusive growth and can bring great opportunities for Sino-German cooperation.

　　The first China-Europe international train opened in 2011, connecting the Chinese city of Chongqing with the German city of Duisburg.

I lived in Duisburg for more than 7 years and carried out several research projects.

We found that the China-Europe International Railway has a positive impact on local development, especially on economic and trade development.

In addition, the railway has positive spillover effects on surrounding areas.

I firmly believe that the "Belt and Road" initiative will provide greater space for expanding economic integration and joint development among Eurasian economies in the future.

On November 7, local time, the pick-up ceremony for the first domestic and overseas China Railway Express arrived in Duisburg, Germany was held in Duisburg.

The China-Europe Railway Express departed from Xi'an, China, and traveled nearly 10,000 kilometers through the Asia-Europe corridor to Duisburg, Germany.

The picture shows the arrival of the China Railway Express.

Photo by China News Agency reporter Ma Xiuxiu

Horst Lecher:

Duisburg is located in the west of Germany and is an important city of coal and steel industry in Germany. Later, due to structural changes in the German economy, the coal and steel industries were no longer developed, and the city was extremely affected. Big hit.

People in Duisburg had to find another way of making a living.

The relationship between Germany and China is a manifestation of the "Belt and Road" initiative, and it has largely helped Duisburg to re-stabilize its economy. Duisburg's current development is indeed very good.

At the same time, the “One Belt, One Road” initiative also has a positive impact on the area around Duisburg.

Why is China's rise not a reason to isolate China?

China News Agency reporter: Recently, some German politicians have repeatedly warned German companies to reduce their dependence on China.

In response, the spokesperson of the Chinese Ministry of Foreign Affairs responded that the so-called "dependence on China" is a false proposition.

Because cooperation is always mutually beneficial, and dependence is always mutual.

How should we look at this issue?

Is "decoupling" also a false proposition?

Li Yuan:

"Decoupling" and "dependence on China" are used as political rhetoric in the West to restrict and contain China, which reflects that some German politicians do not trust China and even discriminate against China's investment.

We must be wary of such claims being exaggerated by Western media, leading to public opinion, and misleading some countries' China policies.

　　China and Germany are each other's most important trade and investment partners. Sino-German economic and trade cooperation has broad prospects and great potential. Under the role of economic and trade cooperation bonds, China and Germany have formed huge common interests and increasingly close relations.

At the beginning of China's reform and opening up in the last century, when the economic strength was not so strong, Western countries were happy to expand economic and trade relations with the fast-growing China, and mainstream Western economic theories have always advocated the benefits of international trade.

For example, international trade will increase the absolute benefits of all trading countries, and will also deepen the interdependence of countries, increase the opportunity cost of conflicts, and thus promote peace.

　　But at present, what some Western politicians care about is not "will everyone benefit?", but "who will benefit more".

If both countries adopt such a perspective to examine their economic and trade relations, the relationship between the two countries will easily fall into a zero-sum game mode and lead to conflicts.

China News Agency: Scholz wrote an article a few days ago saying that China has become an economically strong and politically confident country.

He particularly emphasized that China's rise is not a reason to isolate China, nor is it an excuse to restrict cooperation with China.

How to understand Scholz's statement?

Li Yuan:

For some German politicians who advocate "decoupling" and "reducing dependence on China", it is easy to "sympathize" with a "weak China", but what they should do more is to learn to deal with a "strong China".

When encountering problems, we need mutual respect, dialogue and consultation, and more importantly, we need to promote deeper and pragmatic cooperation, expand common interests in cooperation, and solve problems in development.

China News Agency reporter: China likes to use "pragmatic" to describe Germany's political style.

What kind of bilateral relationship is most in line with the common interests of both sides?

Li Yuan:

Rationality is a German virtue.

Politicians are rational and Merkel is being pragmatic about the economy.

Germany should maintain close ties with China because the German economy is export-oriented and overseas markets are the largest for German products.

China and Germany share many common interests.

Therefore, China's growth should be seen as an opportunity rather than a challenge.

But also note that there are many differences between China and Germany.

It is not easy for Germany to truly understand China.

　　Today, people should recognize and embrace the diversity of social systems and cultures.

China and Germany are jointly facing many global challenges such as the new crown epidemic, climate change, economy and long-term world peace.

We need to be open to our differences, build trust, and work with each other to address these shared challenges.

(Finish)