trade

Cross-Straits firms advocate closer business ties amid external noise

Taiwan Photo: Unsplash

Taiwan Photo: Unsplash

Enterprises from the Chinese mainland and Taiwan island are upholding closer economic ties during an ongoing cross-Straits trade fair, despite US-driven global supply chain risks and geopolitical issues.  

Businesspeople and analysts suggested that people on both sides of the Straits are showing enthusiasm about more economic and trade communication amid external disruption, as the two sides are important trade partners. 

The 26th Cross-Straits Fair for Economy and Trade (CFET) kicked off on Thursday in Fuzhou, East China’s Fujian Province. After three decades of development, the CFET has become a famous comprehensive cross-Straits business event, which has attracted more than 10,000 enterprises from Taiwan and about 30,000 businessmen from Taiwan in total.

You Xinli, marketing director of Shanghai Karon Eco-Valve Manufacturing Co, an exhibitor at the fair, told the Global Times on Thursday that the crowds on the opening day of the CFET reflected the broad cooperation potential between enterprises from the Chinese mainland and Taiwan island.

 

“This fair can be a bridge for mutual understanding among cross-Straits enterprises and people-to-people exchanges in cementing the foundation for wider and deeper communication,” You said. 

During the event, a series of sub-activities will be held to facilitate cross-Straits businesses’ communication and experience sharing. Notably, an investment promotion event is expected to lead to cooperation contracts worth more than 100 billion yuan ($13.85 billion). 

Turning a blind eye to the upbeat momentum in the cross-Straits business world, some Western media outlets have recently sensationalized the joint drills between the navies of the US and the island of Taiwan in April, ahead of the scheduled inauguration of Taiwan regional leader-elect Lai Ching-te. 

Wang Jianmin, a senior cross-Straits expert at Minnan Normal University in Fujian, told the Global Times on Thursday that the impact of disruptions by the US on global supply chains and regional geopolitical issues on regional business trade should not be underestimated. 

“However, enterprises in the Chinese mainland and Taiwan island always advocate ways to enhance business communication, and the government of the Chinese mainland should unswervingly take measures to promote cooperation in tourism, education and trade, in response to the Taiwan authorities’ attempt to go against normal cross-Straits communication,” Wang said.  

Global Times

Cooperation fervor among China-Russia localities and businesses at its peak

China-Russia Photo: VCG

China-Russia Photo: VCG

Cooperation among localities and businesses in China and Russia has been gaining momentum at an impressive pace, showcasing notable vitality and confidence in bilateral economic ties across multiple sectors, against the backdrop of the ongoing top-level visit and a bustling array of bilateral trade promotion activities.

Experts noted that the strengthened cooperation between China and Russia ¬- both at the regional and business levels ¬- will inject robust impetus into the sustained, healthy, and stable development of the China-Russia comprehensive strategic partnership of coordination for a new era.

Analysts anticipate that the coordinated development between northeastern China and Russia’s Far East region is poised to alter the economic development paradigm between the two countries and stimulate economic growth across East Asia.

The remarks were made amid the ongoing and highly anticipated state visit by Russian President Vladimir Putin to China on Thursday and Friday.  

President Putin will attend the China-Russia Expo, the highest-level exhibition between the two countries, which is also a celebration of the 75th anniversary of the establishment of diplomatic relations between China and Russia this year.

The pivotal trade expo kicked off on Thursday in Harbin, Northeast China’s Heilongjiang Province, and will run until May 21. 

More than 1,400 enterprises from 44 countries and regions, as well as 21 provinces and municipalities in China, had registered to participate as of May 6. A total of 16 Russian federal entities are showcasing their businesses at the event in a bid to foster exchanges with China across diverse sectors, according to China’s Ministry of Commerce.

“As a leading Russian enterprise, our products have entered more than 200 chain supermarkets in China, with sales doubling annually,” Evgeny Bazhov, general manager of Uniconf, a company in the Russian confectionery sector and the largest producer of sweets in Eastern Europe, told the Global Times on Thursday.

Bazhov said that the company expects to assist other Russian brands, newly entered, to tap the promising China market through such a high-level trade event. 

“Our products are available in more than 40,000 stores, with 150 Chinese distributors actively involved. We anticipate further business opportunities, particularly highlighting the potential of e-commerce in China’s vast market,” Bazhov said.

“China’s market stands as our largest and most crucial market, as well as the most welcoming market for us,” Alexey Solodov, vice president of the Russian Export Center, told the Global Times on Thursday.

Solodov noted that President Putin’s visit to China is expected to inject fresh vitality into bilateral trade cooperation, forming the bedrock of China-Russia friendship and underpinning bilateral trade ties. 

“I firmly believe that our countries’ trade cooperation will be further fortified,” Solodov noted.

Apart from business ties, China and Russia vowed to increase cooperation at the locality level.

China’s action plan to revitalize its northeastern region aligns with Russia’s push for Far East Development. In light of their geographical proximity and economic synergy, the two regions have vast industrial and business potential, Sun Huijun, a veteran expert on China-Russia trade relations at the China-Russia Friendship Association, told the Global Times on Thursday.

Putin noted during the 8th Eastern Economic Forum, held in September 2023 in Vladivostok, Russia, that the bilateral relationship had entered its best period in history, with smooth development in various fields, stressing that the development of the Far East of Russia had become a new growth point for Russia-China cooperation, and economic relations.

GT Voice: China-Russia trade has strong resilience, offers huge potential

Illustration: Chen Xia/GT

Illustration: Chen Xia/GT

It is normal to see fluctuations in the monthly readings for China’s exports to Russia, but those figures have been ironically cited by some Western media outlets as evidence of the effectiveness of the illegal US sanctions on Russia. Their self-deceiving propaganda is merely bravado.

The Voice of America has published an article distorting and hyping a decline in China’s April exports to Russia, attributing the drop to the impact of US sanctions. It is a bit ironic that while Western media outlets try to smear and criticize China’s trade with Russia by focusing on short-term fluctuations, they lose sight of the bigger picture.

China and Russia in recent years have further strengthened strategic coordination and achieved new results in mutually beneficial cooperation. Although customs data showed that China’s exports to Russia fell to 59.03 billion yuan ($8.17 billion) in April 2024 from 66.19 billion yuan in April 2023, exports from China to Russia increased in the first four months this year.

Trade between China and Russia grew steadily in recent years. In 2023, bilateral trade reached $240.1 billion, achieving the target of $200 billion ahead of schedule, which shows the strong resilience and broad prospects for mutually beneficial cooperation.

Trade and economic cooperation serve as key pieces in the jigsaw puzzle of China-Russia relations and enjoy great potential. Bilateral economic cooperation has advanced steadily not just in traditional fields such as energy, agriculture and forestry, but also in sectors including vehicles, home appliances and food processing.

This is the natural result of economic complementarity. To take the example of agriculture, Russia’s flour, beef, ice cream and some other agricultural products are favored by Chinese consumers, while made-in-China agricultural machinery and types of food-processing equipment are widely recognized by Russian farmers and companies.

Economic cooperation between China and Russia is mutually beneficial. Their cooperation neither targets any third party, nor is it influenced by a third party, let alone is it subject to interference and provocation by any third party.

The US recently imposed sanctions on about 20 Chinese companies for allegedly supporting Russia’s military-industrial and energy development. The move is a typical example of economic coercion, unilateralism, and bullying. China’s right to conduct normal economic exchanges with Russia and other countries on the basis of equality, mutual benefit and common development should not be infringed on. 

In recent years, the US has frequently used long-arm jurisdiction to abuse state power and arbitrarily place restrictions on trade and investment. Washington may try to drive a wedge to disrupt economic cooperation not only between China and Russia, but also between China and other countries and regions. This hegemonic approach has seriously disrupted the normal international economic and trade order and brought economic shocks to the global industrial chains. It will inevitably face a powerful backlash from people across the world.

As the global economy has entered a period of uncertainty and volatility partly due to the unilateralism and hegemonic practices of the US, developing countries, including China and Russia, should be further strengthening and consolidating their cooperation based on mutual respect, trust and understanding. They should address specific issues that hinder the further development of their economic and trade ties.

The challenges encountered by trade between China and Russia in the process of rapid development are controllable and can be solved through appropriate means. Both countries have the confidence, conditions and ability to further expand and deepen their mutually beneficial cooperation in various fields. For instance, Russian Deputy Foreign Minister Andrey Rudenko was quoted by Russian news agency TASS as saying in February that Moscow is confident that the issues related to payments with China will be solved.

As the US escalates sanctions against Russia, the world is under pressure over its banks accepting payments from Russian companies, but it is believed that remaining problems will be gradually resolved, because it is consistent with the efforts by countries, especially developing economies, to ensure financial security and stability.

China’s foreign trade up 5.7% in first 4 months

China’s total imports and exports of goods expanded 5.7 percent year-on-year in the first four months of this year to 13.81 trillion yuan ($1.91 trillion), data from the General Administration of Customs showed on Thursday.

From January to April, exports grew 4.9 percent year-on-year to 7.81 trillion yuan, while imports rose 6.8 percent to 6 trillion yuan, the data showed.

Private businesses, as evidenced by the data, have played a bigger role in fueling the growth of foreign trade in goods. During the period, the trade value of private enterprises took up 54.6 percent of the total, up 2.5 percentage points from the same period last year, while that of the foreign-invested enterprises constituted 29.1 percent.

Thursday’s data also pointed to an uptick in China’s imports and exports to the Association of Southeast Asian Nations and the United States.

In the first four months, China’s trade with its largest trade partner, ASEAN, rose 8.5 percent year-on-year to 2.18 trillion yuan, accounting for 15.8 percent of the country’s total trade value.

The country’s trade in goods with its third-largest trade partner, the US, grew 1.1 percent to 1.47 trillion yuan during the period, while that with the European Union, its second-largest trade partner, edged down 1.8 percent year-on-year.

Highlights of China’s trade in goods during the January-April period include a robust increase in exports of machinery and electronic products, accounting for nearly 60 percent of the country’s total exports during the period.

In particular, the export value of automatic data processing equipment, integrated circuits and vehicles, surged 9.7 percent, 23.5 percent and 24.9 percent year-on-year, respectively, during the period, the data showed.

China’s exports to US expand 2.4% in first four months, ‘stern warning’ to certain US politicians’ decoupling push

China trade economy File photo: VCG

China trade economy File photo: VCG

Total China-US tradeexpanded 1.1 percent year-on-year to 1.47 trillion yuan ($203.42 billion) in yuan-denominated terms in the first four months, reversing a 0.7percent contraction in the first three months, customs data showed on Thursday. 

The return of growth underscored the resilience and complementarity of trade relations between the world’s two largest economies, which will retain a ballast role in the bilateral relationship, observers said. They predicted that more potential could be released this year if the US can check its urge to relentlessly contain China’s development.

  

The surging trade sent a stern warning to certain US politicians and their decoupling push against Chinese exports, either in the guise of smearing “overcapacity” or hyping “de-risking,” analysts said. It shows that those politicians’ actions – motivated by geopolitical intentions – severely deviate from the interests of the US business community, and only pragmatic cooperation with the Chinese side would lead to win-win results, they noted.

In the first four months, China’s exports to the US grew 2.4 percent year-on-year to 1.08 trillion yuan in yuan-denominated terms, while imports edged down 2.5 percent to 387 billion yuan, according to data from the General Administration of Customs. 

The US remained China’s third-largest trading partner in the first four months, after ASEAN and the EU, according to the Global Times’ calculations.

In the first quarter, China’s exports to the US gained 2.1 percent, while imports were down 7.7 percent.

In April alone, bilateral trade reached 400.3 billion yuan, customs statistics showed, compared with 386.8 billion yuan a year earlier. 

Observers said that bilateral trade showed a turnaround between March and April, amid animproving and stabilizing trajectory of bilateral relationships. Exchanges of high-level officials have intensified in recent months.

“It also showed that the Chinese and US economic structures are highly complementary andunderscored the win-win nature of bilateral cooperation,” Gao Lingyun, an expert at the Chinese Academy of Social Sciences, told the Global Timeson Thursday.

The increasing competitiveness of Chinese quality exports to the US consumer market also showed that Chinese manufacturers have helped the US to mitigatepersistent inflation, analysts added. 

Gao said that the rebound also reflected a broad recovery in global demand, which bodes well for China’s overall foreign trade this year. In the first four months, China’s merchandise trade rose 5.7 percent year-on-year to13.81 trillion yuan.

China-US trade is likely to continue the positive momentum in the coming months and exceed last year’s level, taking account of the low base effect and the stronger US dollar, Gao said, though the upcoming US presidential election will mean some uncertainty for bilateral relations.

“The US may regain its position as China’s second-largest trading partner this year, depending on how China’s trade with the EU develops,” Gao said.   

China’s trade with the EU fell by 1.8 percent to 1.75 trillion yuan in the first four months, which observers said was partly due to the sluggishness in the bloc’s economy. 

The release of thetrade data came as US politicians ramped up a crackdown against Chinese advantageous industries, using “overcapacity” claims to justify more protectionist measures against Chinese exports.

Cong Yi, a professor at the Tianjin University of Finance and Economics, told the Global Times on Thursday that the vigorous trade shows that the malicious geopolitical intentions of politicians represent a serious departure from the true interests and trading activities of US businesses.

“The US market did not buy into Washington’s decoupling push, and it is eager for more pragmatic cooperation with the Chinese side,” Cong noted.

The US reportedly revoked licenses that allowed companies including Intel and Qualcomm to ship chips used for laptops and handsets to Huawei, Reuters reported. Observers said that Chinese companies could have imported more US products if Washington had not imposed so many export restrictions. 

GT Voice: Success of China-France farm trade may offer lessons for US

Illustration: Chen Xia/Global Times

Illustration: Chen Xia/Global Times

China and France issued a joint statement on agricultural exchanges and cooperation on Monday, the Xinhua News Agency reported on Tuesday. 

The two sides agreed to enhance collaboration in agricultural science and technology, education, rural development, grape cultivation and wine-making, and agricultural food, among other areas, according to the statement.

Increasing collaboration between China and France in the agricultural field is bound to drive bilateral agricultural trade, injecting new vitality into the development of both countries’ agricultural sectors. Moreover, the success of China and France in tapping the potential of their complementarities in agricultural trade may also offer valuable lessons for China-US agricultural trade in the complex environment.

China and France have a longstanding history of fruitful cooperation in the agricultural sector, with bilateral trade of agricultural products on a steady rise in recent years. According to statistics from the Chinese customs, France is China’s top agricultural import partner in the EU and the second-largest agricultural trading partner within the bloc. 

In particular, in April 2023, China worked with France to set up a “French farm to Chinese dining table” whole-chain rapid coordination mechanism, which has become a shining example of practical cooperation between the two countries.

The sound development of agricultural trade between China and France is not only bolstered by the significance placed on agricultural cooperation by the two governments, but also by the complementary nature of their agricultural sectors. 

For a long time, the Chinese and French governments have attached great importance to agricultural cooperation in their bilateral relations and signed various agreements to create a favorable environment for relevant trade.

Compared to the mutually beneficial trade between China and France, the China-US agricultural trade has been significantly affected by the US-initiated trade war against China in recent years. The ongoing uncertainty in China-US trade relations, particularly the US trade policy toward China, has hindered the potential for trade complementarity between the two countries and could disrupt the normal flow of global trade. 

China has become the world’s largest importer of agricultural products, while the US is still the largest exporter. Yet, trade tensions between the two countries have created uncertainty in agricultural trade, affecting the long-term interests of both countries’ agriculture sectors and farmers.

According to data released by the US Census Bureau, US exports of agricultural and related products hit a three-year low in 2023. Specifically, China’s portion of US agricultural exports dropped to a four-year low of 16.6 percent from a record 19.2 percent in 2022, Reuters reported.

Against the declining trend of agricultural exports, China’s booming agricultural trade with France could serve as a reminder that the US needs to rethink its trade strategy toward China to get agricultural trade with China back on track, and on the right one.

In the long run, as the Chinese economy continues to grow and China pursues consumption upgrades, it needs diversified products to meet its huge potential for agricultural consumption, which provides opportunities for global suppliers of agricultural products. The China market is critical not only for French farmers but also for American farmers. If US agricultural suppliers can successfully tap and adapt to this market, they will stand to gain enormously, similar to their French peers. This will not only promote the development of American agriculture but also contribute to the health and stability of global agricultural trade.

Given the successful experience of China-France agricultural trade, it is hoped that China and the US can find a solution to their problems. Resolving these issues will require the US to adhere to international trade norms and work toward a negotiated solution. Ultimately, the future of China-US agricultural trade and the achievement of mutually beneficial outcomes will depend on the willingness of the US to engage in constructive dialogue and cooperation.

Why has China’s manufacturing industry become a ‘scapegoat’ for the US?: Global Times editorial

Workers build large cargo ships in Yichang, Central China's Hubei Province on Sunday. In 2020, the output value of Yichang's shipbuilding industry, hit by the epidemic for almost half a year, reached 9 billion yuan ($1.4 billion). It was also the fourth year in which the industry built more than 100 ships, holding first place in Hubei Province. Yichang has become a shipbuilding center in the middle and upper reaches of the Yangtze River. Photo: cnsphoto

Workers build large cargo ships in Yichang, Central China’s Hubei Province. File Photo: cnsphoto

On April 17, the Office of the US Trade Representative once again wielded the “Section 301” stick, this time targeting China’s maritime, logistics and shipbuilding sectors. On the same day, the Biden administration also called for a significant increase in import tariffs on Chinese steel and aluminum products. These moves are another dangerous step by Washington dragging the US and China into an escalating trade war vortex, not only a misinterpretation or even distortion of China’s manufacturing competitiveness but also a deviation from the fundamental principles of the World Trade Organization (WTO).

This is the latest Section 301 investigation launched by the US against China. Although the current scope of the investigation is somewhat different from the past, the fundamental purpose remains the same: to misinterpret normal trade and investment activities as threats to US national security and corporate interests, and to blame China for its own industrial issues. Recently, US Trade Representative Katherine Tai claimed in a hearing that China’s alleged unfair policies and practices “have devastated many working communities and industries” across the US, citing industries such as steel, aluminum, and electric vehicles as examples. However, according to the White House, imports of steel from China only account for 0.6 percent of total US steel demand, far less than countries like Canada and Mexico. Not to mention, due to high tariffs, Chinese electric vehicles have hardly entered the US market, so where does the claim of “devastating” come from?

In the face of the numerous groundless accusations in the US application document, China, with frankness and integrity, naturally fears no trouble and will staunchly defend its own rights and interests. The development journey of China’s manufacturing industry is evident to the world, and it can be boldly stated that the development of China’s industries is the result of enterprises’ technological innovation and active participation in market competition. Right and wrong have their own clear distinctions; regardless of how Washington tries to label China with various new and old accusations, it will not change the fact that the US is engaging in protectionism and unilateralism. The previous US administration’s initiation of the Section 301 investigation against China and imposition of tariffs on China have been ruled by the WTO to have violated WTO rules and have faced opposition from numerous WTO members. This time will be no exception.

At this juncture, Washington’s sudden concentrated attacks on China’s manufacturing industry are, to some extent, influenced by the factors of the US elections. The Biden administration probably hopes to win the votes of blue-collar workers in swing states by doing so. But looking beyond the surface, behind China’s manufacturing industry becoming the “scapegoat” for Washington, there is a fundamental issue – the US has yet to truly face up to the development of China’s manufacturing industry and economy. If Washington cannot have a clearer understanding of “Made in China,” then the future of China-US economic and trade relations will inevitably encounter obstacles and challenges.

The rise of China’s manufacturing industry, especially in heavy industries such as steel, shipbuilding, and railway equipment, is a natural result of resource optimization in the process of global economic integration. The journey of China’s manufacturing industry to its current state, with strong competitiveness and vitality, has not been easy. It has been achieved through overcoming obstacles, backed by a large market size, efficient infrastructure, a well-developed supply chain system, and continuously improving technological innovation capabilities. Relying on unfair means to “force growth” will not lead to the full blossoming of “Made in China.” Washington should be well aware of this, as the traditional manufacturing industry in the US, represented by the shipbuilding industry, lost its competitive advantage due to excessive protectionism many years ago.

The crisis currently facing the traditional manufacturing industry in the US should serve as a wake-up call for Washington. It should be a moment for deep reflection, rather than being used as a tool for elections or as an excuse for cracking down on China. How to revitalize the declining traditional manufacturing industry in the US, and how to move economic development from virtual to real, are crucial matters concerning the national interests of the US. Choosing to blame others will only worsen the situation. Compared to unilateral investigations, the more optimal solution for Washington should be to follow the trend of globalization, adhere to the principle of comparative advantage and market economic laws, and develop industries that align with their own factor endowments, rather than attempting to help disadvantaged industries with trade protection. Doing so will ultimately be futile.

China has achieved economic leaps through continuous opening-up, and it will continue to move forward firmly on this path in the future. As the two largest economies in the world, China and the US should also work together to maintain the stability of the global industrial chain and promote global economic growth on the basis of mutual respect and equal benefits. We urge the US government to recognize the achievements of China’s manufacturing industry, respect the rules and direction of globalization, and stop wielding the “Section 301” stick recklessly. This could be the first step toward a more constructive relationship.

EU probe of Chinese wind turbines ‘protectionist’ behavior: MOFCOM

China EU Photo:VCG

China EU Photo:VCG

China’s Ministry of Commerce (MOFCOM) in the wee hours of Thursday slammed the EU’s planned probe into Chinese wind turbines. The ministry said the EU investigation distorts the definition of subsidies, lacks transparency, and is protectionist behavior that harms fair competition.

The EU on Tuesday announced it would launch a subsidy investigation into Chinese wind turbine suppliers in several EU countries, as the bloc steps up trade protectionism against China’s new-energy industries.

The move drew deep concerns from Chinese officials, business groups and experts. They said that it showed the rising tendency of protectionism in the EU. They urged the bloc to abandon protectionist practices and return to the path of win-win cooperation.

The probe announced on Tuesday would be the fourth investigation conducted by the EU under its Foreign Subsidies Regulation within two months, with a clear aim to target China’s new-energy companies. It will damage mutually beneficial cooperation between China and Europe, said a MOFCOM official in a meeting with Martin Lukas, director-general of the trade defense department of the European Commission, in Brussels on Wednesday, per a Xinhua News Agency report.

China urges the EU to immediately end its protectionist action and rectify the incorrect move, the Chinese official said.

MOFCOM spokesperson He Yadong also slammed the investigation on Thursday. He said that it clearly violates the principles of free trade. He emphasized that it is seriously disrupting normal cooperation between Chinese and European industries and is a typical example of protectionism.

The MOFCOM also hit back at an updated report by the EU that distorts China’s policies, market environment and economic system.

The EU report covers various industries in China, including telecoms, semiconductors, railways, renewable energy and new-energy vehicles (NEVs). It’s in line with the EU’s recent investigations into Chinese NEVs and the latest anti-subsidy probe into Chinese wind turbines.

Protectionist moves by the EU have raised strong concerns in the business world.

“We strongly oppose any increase in tariffs on electric vehicles in China, and we look forward to continuing production and maintaining our market presence in China,” Maximilian Butek, executive director at the German Chamber of Commerce in China (Shanghai), told a press conference on Wednesday.

Butek noted that Chinese NEVs account for only about 1.5 percent of the market in Europe, which is much less than the market share of German NEVs in China.

Chinese analysts said that the real aim of Western politicians and media outlets that hype the subsidies and “overcapacity” narrative seems to be the protection of their own clean-energy industries.

 

“Accusations of subsidies and overcapacity in China’s new-energy products by Europe carry a strong protectionist tone,” Cui Hongjian, a professor at the Academy of Regional and Global Governance at Beijing Foreign Studies University, told the Global Times on Thursday.

The notion of “overcapacity” should be determined by market data, rather than used as an excuse for trade protectionism. Europe’s long-term competitiveness needs to be built on innovation, and excluding Chinese products does not benefit anyone, Cui said.

Helga Zepp-LaRouche, founder of Germany-based political and economic think tank the Schiller Institute, told the Global Times on Thursday that the claim of “overcapacity” is just the latest attempt to find a justification for prioritizing speculative gains over basic research and development. 

“Since China has given top priority to innovation as the motor of the rejuvenation of the economy, it has a competitive advantage. It is a deplorable fact that Europe has lost its way,” she said.

The MOFCOM’s He told a press conference on Thursday that the EU cannot claim to care about climate change while simultaneously promoting protectionism and restricting international green trade and investment. This double standards approach will hinder the global green transition, disrupt China-EU investment cooperation, and damage mutual economic and trade trust.

Achieving an energy transition to address climate change is also a goal of Europe, and implementing trade protectionism in certain industries would undermine Europe’s open and free market image, Cui said.

China hopes that Europe will abandon protectionist practices and return to the path of win-win cooperation, providing a stable, fair, transparent and predictable competitive environment for green cooperation, He noted.

There is huge potential demand for new-energy products in the global market. Taking NEVs as an example. According to an estimate by the International Energy Agency, global demand for NEVs will reach 45 million in 2030, 4.5 times the 2022 figure, and global demand for new photovoltaic capacity will reach 820 gigawatts, about four times that of 2022.

Foreign Ministry commends Mexican President Lopez Obrador for maintaining friendly, mutually beneficial relations with China

New energy vehicle production line in Haikou, Hainan Province. Photo: VCG

New energy vehicle production line in Haikou, Hainan Province. Photo: VCG

Chinese Foreign Ministry on Wednesday commended Mexican President Andres Manuel Lopez Obrador’s remarks that Mexico doesn’t want a trade war with China.

 “Both advocating economic globalization based on inclusiveness, China and Mexico are good friends and good partners that are seeking mutually beneficial development. Win-win cooperation is the nature of China-Mexico economic and trade ties,” Chinese Foreign Ministry spokesperson Lin Jian said at a press conference on Wednesday.

China is willing to join hands with Mexico to implement the important consensus reached during the San Francisco summit meeting between the two heads of state to continuously deepen China-Mexico comprehensive strategic partnership, Lin said.

The comments came as Lopez Obrador reportedly said that Mexico does not want a trade war with China, and China’s investment in Mexico will continue, in response to a media question over former US president Donald Trump’s threat of levying additional tariffs on cars made by Chinese-funded companies in Mexico.

During a recently election rally in Dayton, Ohio, former US president Donald Trump said he would hit cars made in Mexico by Chinese companies with a 100-percent tariff, double the levy he has previously said he would put on vehicles made south of the US border, Bloomberg reported on March 17.

Trade with China mainly settled in yuan, rubles: Russian deputy PM

Aerial photo taken on Feb. 21, 2021 shows the first China-Europe freight train linking St. Petersburg of Russia with Chengdu departing the Chengdu International Railway Port in Chengdu, southwest China's Sichuan Province. Photo: Xinhua

Aerial photo taken on February 21, 2021 shows the first China-Europe freight train linking St. Petersburg of Russia with Chengdu departing the Chengdu International Railway Port in Chengdu, Southwest China’s Sichuan Province. Photo: Xinhua

About 92 percent of trade settlement between Russia and China is now conducted in Russian rubles and Chinese yuan, Russian Deputy Prime Minister Alexei Overchuk said on Wednesday at the ongoing Boao Forum for Asia in South China’s Hainan Province.

He also said that Russia hopes to strengthen financial ties with other countries to replace the US dollar in the international arena in the future, in a bid to ensure the stability and security of local currencies.

Overchuk’s remarks came amid growing emphasis by both sides on trade in local currency and de-dollarization efforts in a bid to reduce risks and costs. In July 2023, Russian President Vladimir Putin announced at the 23rd Meeting of the Council of Heads of State of the Shanghai Cooperation Organization that over 80 percent of trade settlement between Russia and China was conducted in Russian rubles and Chinese yuan, according to media reports.

Bilateral trade between China and Russia continues to show upward momentum, reaching $240.1 billion in 2023, up 26.3 percent from a year earlier. The figure was over $190 billion in 2022, with energy taking the key share.

China-Russia relations are a model of relations between major powers. When talking about the relationship between Russia and China, Overchuk emphasized that the dynamic and stable relationship between the two countries is based on mutual respect, equality, and years of profound historical exchanges between the two governments. Russia will continue to promote the growth of trade between the two countries and advance new interconnection projects, he said.

One of the prominent changes over the past 50 years has been the rise of the Global South, Overchuk said while addressing a sub-forum titled “The Rise of the Global South.” Faced with increasing global uncertainty, countries from the Global South should strengthen cooperation and unite to meet challenges, he said.

Overchuk also pointed out Russia’s willingness to strengthen cooperation with countries in the Global South in the field of cross-border trade and transportation infrastructure construction, saying that Russia hopes to expand market access and push for the building of international transportation corridors.

“We are currently seeing signs of anti-globalization and rising trade fragmentation in global markets, which requires us to strengthen cooperation and connections with our neighboring countries,” said Overchuk.

2024 marks the 75th anniversary of the establishment of diplomatic relations between China and Russia. The determination of China and Russia to work together hand in hand is even stronger, the foundation of generational friendship is more solid, and the prospects for comprehensive cooperation are even broader, Zhang Hanhui, the Chinese Ambassador to Russia, said in an interview with Tass on March 21.