Golden ties
As Britain prepares to leave European Union, its finance minister is in Beijing to discuss trade matters.
BEIJING: Britain’s finance minister told the Chinese premier there are “many opportunities” for closer commercial ties as he started a visit aimed at developing trade as Britain prepares to leave the European Union.
British leaders are looking to China for trade and investment as they try to fashion a new global role and offset reduced access to the European common market.
Chinese officials believe a post-Brexit Britain needs China more than ever but its companies are uneasy about the future of a market they see as one of Europe’s most welcoming.
Philip Hammond was in Beijing for an annual “economic dialogue” that has taken on added significance this year.
He was accompanied by an unusually large delegation of businesspeople and British economic officials for such an event.
Premier Li Keqiang, China’s top economic official, expressed confidence in “steady and sound growth” of Chinese-British relations regardless of what happens between London and the EU.
“We see many opportunities to build on our strong relationship,” said Hammond in the meeting at the Great Hall of the People in central Beijing, the symbolic seat of China’s government.
Both governments have declared themselves to be in a “Golden Era” of relations.
They say they want closer cooperation in finance, clean energy, nuclear power and other fields.
Britain needs to diversify its trade “and China is regarded as a potential replacement for the EU in this regard,” said Wang Zhanpeng, director of the British Studies Center at the Beijing Foreign Studies University.
China had hoped Britain would be a partner inside the EU, helping to resist pressure in the bloc to restrict imports, said Wang.
But he said the uncertainty of Brexit might hurt Britain’s image as a stable and welcoming market.
“If the impact of Brexit lasts for a long time, it may bring about negative effects on China’s investment and acquisitions in the country,” said Wang.
They plan to conclude agreements on more than £1bil (RM5.4bil) of trade and investment deals during the event, according to Hammond’s statement. It gave no details. — AP