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Back|German-language media: Don’t fall into Beijing’s trade trap
German-language media: Don’t fall into Beijing’s trade trap
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德国之声·1 hour ago·Opinion·4 min read·🇨🇳China·

German-language media: Don’t fall into Beijing’s trade trap

German media comments analyze Beijing’s export controls in key technology fields and its impact on European trade policy

Quick Look

  • German media commented that China’s introduction of key technology export restrictions after the EU electric vehicle agreement reflects Xi Jinping’s strategy of pursuing technological independence.
  • The commentary believes that European trade barriers cannot solve the fundamental problem of insufficient technological competitiveness, and warns that Beijing is trying to reduce Europe to a supplicant through supply chain dependence.

AI-generated summary

Why It Matters

The EU and China recently reached an agreement on export restrictions on electric vehicles, and China subsequently announced export controls on artificial intelligence, biotechnology and solar products.

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(Deutsche Welle Chinese website) "Frankfurter Allgemeine Zeitung" commented that before the ink was dry on the agreement reached between the EU and China on limiting the number of Chinese electric vehicles exported, Beijing introduced a new list of technology export restrictions: exports in fields such as artificial intelligence, biotechnology, and solar energy products will either be completely banned or subject to strict review. This review titled "Technological Autonomy" reads:

"Beijing's step highlights the difference in worldviews. In Xi Jinping's view, achieving technological independence is the top priority. The reason behind this is the historical trauma left to China by missing the industrial revolution in the 19th century. For more than a hundred years, China has been technologically backward.

The historical lesson China draws from this is also simple: if it wants to remain independent and strong, it must master technology. Because of this, China places more emphasis on science and engineering education, training millions of engineers every year, and the emphasis on artificial intelligence in schools at all levels is far greater than in Europe. The amount of investment China makes in the industrial sector every year is even more shocking. Such industrial policies have also caused serious imbalances in China's economic structure. For most people, this is a protracted economic crisis. "

A comment in the Frankfurter Allgemeine Zeitung pointed out that although China's industrial policy has caused serious overcapacity, it has also exposed the helplessness of Europe's policy towards China: Trade barriers may temporarily protect the local economy, but they cannot change the passive situation in competition with China:

"Implementing tariffs or setting export caps on Chinese products may protect the market share of European companies, but it cannot improve Europe's technological competitiveness, let alone improve the passive situation of European cars in third-party markets. Although Europe's trade policy towards China can produce effects in certain areas, its focus is wrong: it does not face competition head-on, but encourages the rigid development of Europe. Such policies can only alleviate symptoms, but do not find the real cause."

Europe should not be reduced to a supplicant at the mercy of Beijing

The "Daily Daily" commented that it is the norm for the Chinese government to "say one thing and do another", and when it comes to national security, this "inconsistency between words and deeds" becomes particularly obvious. Chinese party and state leader Xi Jinping has just promised on the international stage that China is willing to promote international cooperation in the field of technology with an open attitude. But before the words were spoken, China issued a long export control list of key technologies:

“Europe should be highly alert to the inconsistency between China’s words and deeds. For decades, Beijing has been urging Western companies to transfer technology. Now, when China has become dominant in certain fields, it has immediately begun a systematic blockade policy. On the issue of ‘de-risking’, Beijing’s approach is the same: while it condemns Europe’s attempts to reduce dependence on China, at the same time, China is feverishly pursuing the goal of not becoming dependent on any country.

As we all know, in Zhongnanhai’s view, supply chain and industrial strength are first and foremost weapons of political pressure. The strategy that Xi Jinping has pursued over the past few years is that the country's economy should be as self-sufficient as possible, while the entire world should be highly dependent on Chinese products.

Whenever political relations become tense or a trade war is about to break out, Beijing will waste no time in showing its trump card. The most famous example is rare earths. Until now, China has held a global monopoly on rare earth processing. Even in the area of green technology, China’s leadership has been placing strings attached to bilateral cooperation.

Brussels and Berlin must have a clear understanding of what China is doing: Beijing hopes to reduce Europe to the status of a supplicant. By then, Europe will only be eligible to cooperate with China if it meets the conditions set by Beijing. "

Open Questions

  • ?How will Europe respond to China’s export controls in key technology areas?
  • ?How will the structural imbalance of China’s industrial policy evolve?

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This article was originally published by 德国之声.

Quick Look

  • German media commented that China’s introduction of key technology export restrictions after the EU electric vehicle agreement reflects Xi Jinping’s strategy of pursuing technological independence.
  • The commentary believes that European trade barriers cannot solve the fundamental problem of insufficient technological competitiveness, and warns that Beijing is trying to reduce Europe to a supplicant through supply chain dependence.

AI-generated summary

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德国之声
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Published
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China
technology export controls
industrial policy
China
Xi Jinping
Deutsche Welle
Frankfurter Allgemeine Zeitung
daily newspaper
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brussels
berlin
technology export controls
industrial policy
European Union
Xi Jinping
technological independence
trade barriers

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