Merkel seeking progress on China deal
CHINA and the European Union will today seek to save a global climate change pact in the wake of US President Donald Trump’s announcement on the matter.
As China emerges as Europe’s global partner on areas from free trade to security, Premier Li Keqiang will meet top EU officials at a summit in Brussels that will also address North Korea’s missile tests and global steel overcapacity.
In a statement backed by all 28 EU states, the EU and China will commit to full implementation of the Paris Climate Agreement, EU and Chinese officials said.
The joint statement, the first between China and the EU, commits to cutting back on fossil fuels, developing more green technology and helping raise US$100 billion a year by 2020 to help poorer countries cut their emissions.
“The EU and China consider climate action and the clean energy transition an imperative more important than ever,” the statement, by the Chinese premier, European Council President Donald Tusk and European Commission President Jean-Claude Juncker will say.
“The increasing impacts of climate change require a decisive response,” according to the satement.
China asked that the annual summit, normally held in mid-July, be brought forward to press home President Xi Jinping’s defense of open trade at the World Economic Forum in Davos in January in response to Trump’s protectionist stance.
Miguel Arias Canete, the EU’s energy commissioner, said the bloc could depend on China despite concerns of environmental groups that monitoring and verification measures in the Paris accord would be weaker without the United States.
“I have lots of trust in the Chinese. They are very tough negotiators but they are very consistent with what they negotiate,” Canete said.
Trump’s plan to follow through on an election campaign pledge to withdraw from the Paris accord, agreed on by nearly 200 countries, made China even more important, he added.
“At a moment in which the United States have doubts about the benefits of remaining in the Paris agreement ... two major players in the climate arena declare that they are committed to the Paris agreement,” he said of the EU and China.
While China needs EU technical know-how to fight the pollution blighting its cities, the European Union is looking to China to take action against emissions blamed for increased drought, rising seas and other effects of climate change.
In a broader final communique focusing on a range of other issues, Li, Juncker and Tusk are expected to commit to free trade and reduce a global steel glut that Europe and the US claim is “an attempt” by China to corner local markets.
The EU and China will seek to “refrain from all forms of protectionism and uphold free and rules-based trade,” the leaders will say in the 60-point statement, according to a draft. They promise to “address steel overcapacity at its roots.”
China’s annual steel output is almost double the EU’s total production.
Western governments say Chinese steel exports have caused a global steel crisis, costing jobs and forcing plant closures.
The warmer EU-China relationship has transpired despite a long-running EU spat with Chian on what Europe sees as China’s “dumping” of low-cost goods on European markets.
A senior Chinese official said China is determined to open up and reach a deal, seen as a forerunner to a free-trade accord.
Yesterday, Germany and China vowed to expand their partnership and pledged to continue fighting climate change, sending a signal to the United States hours before the US president made his announcement on the Paris climate accord.
Berlin was the first stop in Europe for Premier Li, amid growing concern in Germany over some of Trump’s policies, especially on climate change and protectionism.
“China has become a more important and strategic partner,” Merkel said at a news conference with Li.
“We are living in times of global uncertainty and see our responsibility to expand our partnership in all the different areas and to push for a world order based on law,” she said.
The two held talks on issues from trade, civil rights, the North Korea crisis and climate change and a multitude of business deals were signed. “We are both ready to contribute to stability in the world,” Li said.
As the world waited to hear from Trump, Li said China was committed to tackling the issue via the Paris agreement and by setting national targets.
“China will stand by its responsibilities on climate change,” Li told reporters.
European and Canadian officials have warned Trump the US risked ceding global leadership on combating climate change to China if it withdrew.
Merkel vented her frustration with Trump on Sunday after what she said were unsatisfactory talks of G7 leaders, saying Germany and Europe could no longer totally rely on traditional allies. Since then she has hosted India’s Prime Minister Narendra Modi as well as Li.
Merkel said she wanted quick progress on an EU-China investment deal and that this would be a precondition to any free trade talks, a move Li said would be timely. With bilateral trade of 170 billion euros (US$191 billion) last year, China was Germany’s most important trading partner, said Merkel.
“These are impressive figures and we both said we want to extend this,” she said, adding that the signing of business agreements pointed to future cooperation in cars, aviation technology, recycling and artificial intelligence.
Among the deals signed was one between Daimler and joint venture partner BAIC Motor Corporation on upgrading a Mercedes-Benz factory in Beijing for electric cars.
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