Xian and Hiroshima: a telling tale of two summits
Wei Wei says to G7 nations, China is an economic bully but to Central Asia it is a vital partner
The inaugural China-Central Asia Summit and the recent G7 meeting were two of the most prominent world events so far this year. Both kicked off on May 19 and revolved around China – even though it is not a member of the Group of Seven – and ended up with rather different conclusions about Beijing’s global influence.
At the G7 summit in Hiroshima, Japan, China’s growing economic might was one of the biggest concerns. The communique said the G7 “will seek to address the challenges posed by China’s non-market policies and practices, which distort the global economy”; that the G7 will “foster resilience to economic coercion” and “increase our collective assessment, preparedness, deterrence and response to economic coercion”.
A separate G7 statement on economic resilience and security spoke of “a disturbing rise in incidents of economic coercion that seek to exploit economic vulnerabilities and dependencies and undermine the foreign and domestic policies and positions of G7 members as well as partners around the world”. It also lamented that economic coercion “undermines the functioning of and trust in the multilateral trading system” and “ultimately undermines global security and stability”.
The statement did not name China but the accusation was clear. However, when examined closely, the claim may actually fit the US better, considering the type of “economic coercion” it is capable of: trade wars, sanctions, dollar weaponisation, violations of the international order – the list goes on. Even its allies have fallen victim to its economic coercion, especially in the face of its “America first” policy.
The Inflation Reduction Act is a clear example of US protectionism at the expense of its allies. The European Union, Japan and South Korea have all strongly criticised the legislation – which subsidises American makers of electric cars and batteries, among others – as “discriminatory” and against “international trade rules”.
The EU continues to negotiate with the US on this, while South Korea has decided to provide billions in financial support for its battery makers to stay competitive in the US – by adding plants there. This is an example of American economic bullying, violation of the principles of free trade and the market economy, and undermining the development of the global economy.
But does the United States care, and think about showing more respect for its allies and the international rules? Washington’s foreign policy has, for years, been based on insisting that others abide by the world order it dominates, while it gets to make exceptions.
Were all the other G7 members comfortable with the joint communique on China’s “economic coercion”? After all, they also have valued trade relationships with Beijing. So, perhaps the issue here is not so much China’s economic coercion as America’s delusion.
Standing in stark contrast to the G7 summit – which featured accusations aimed at China, but little in the way of substantive deals – was the China-Central Asia Summit in Xian, Shaanxi province.
At the meeting, President Xi Jinping and his counterparts from five Central Asian countries – Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan – signed the Xian Declaration and adopted a long list of summit outcomes.
This included 54 major cooperation consensuses and initiatives, 19 platforms proposed by China for multilateral cooperation and nine documents on multilateral collaboration.
The six countries will also establish mechanisms for conducting future meetings at both the leadership and ministerial levels.
The summit outcomes covered fields such as transport, commerce, investment and industry, agriculture, energy, customs and people-to-people exchanges, and more, as China proposed to expand economic and trade relations, deepen connectivity, increase energy cooperation, promote green innovation, enhance development capabilities, strengthen dialogue and maintain regional peace.
One may argue that most of the initiatives were led by China, but it takes two to tango. Central Asia is crucial to China as an important energy supplier and corridor to Europe. At the same time, China’s strong foreign investments and service export capabilities are needed by Central Asia. At the summit, Central Asian leaders spoke highly of China’s growing global role and attached much importance to cooperation with Beijing.
China has become a key force in ensuring global security and stability, and in promoting technological and economic development. This makes cooperation with Beijing indispensable and important in achieving sustainable development. Deepening relations is in line with the long-term interests of all six countries.
While certain powers regard Central Asia as an arena for geopolitical games, instigating so-called colour revolutions and inciting ethnic conflicts and religious disputes, China always endeavours to be a trustworthy neighbour and reliable partner.
Beijing seeks to engage with sincerity, and cooperate based on the principle of mutual benefit. China not only respects the development paths of different countries, but also considers the interests of its partners, with no strings attached to economic cooperation – and will not interfere in their internal affairs. China’s initiatives can bring about tangible benefits and are a win-win result.
If the pursuit of well-being and development based on mutual respect and trust, in accordance with the international order, counted as “coercion”, then maybe more countries would happily submit to it.
Perhaps the issue here is not so much China’s economic coercion as America’s delusion