The Illusion of Cutting Ties

French Minister of Economy Bruno Le Maire has emphasized the impossibility of severing economic ties with China. Speaking at a press conference in Beijing, Le Maire dismissed the idea as an "illusion." He highlighted the interconnectivity between the American, European, and Chinese economies, making it unrealistic to completely cut off relations. However, he did advocate for greater economic independence for France in specific sectors.

Pursuing Economic Independence

Le Maire clarified that the concept of "de-risking," which has gained popularity in Western countries, does not imply that China poses a risk. Instead, it reflects a desire for greater independence. The minister stressed the importance of reducing dependence on specific components, as demonstrated during the Covid-19 crisis. France aims to achieve economic autonomy while maintaining beneficial partnerships with China.

A Global Shift

Le Maire's stance aligns with the strategic goals of Western countries, including Germany and the United States, who seek to reduce their economic reliance on China. Germany, despite having China as its largest trading partner and a vital market for its automotive sector, aims to decrease its dependence. Some American officials also support the idea of reducing economic ties due to recent tensions between the two nations.

Differing Perspectives

However, Le Maire's position differs from that of the United States Treasury Secretary, Janet Yellen. During her visit to China in July, Yellen stated that decoupling the American and Chinese economies was practically impossible due to China's significant role in the global economy. Chinese Prime Minister Li Qiang also dismissed the idea, emphasizing the interdependence of world economies. While acknowledging the need for economic independence, Le Maire recognizes the challenges of complete decoupling.

Strengthening Cooperation

Le Maire's visit to China coincides with the annual high-level economic and financial dialogue between France and China. The discussions will focus on strategic issues and explore opportunities for collaboration in key sectors. Additionally, Le Maire will travel to Shenzhen, known as the "Silicon Valley of China," to meet with Chinese investors and prominent business leaders. This visit aims to strengthen economic cooperation between France and China.

Words of the day

Independence : Indépendance

Interdependence : Interdépendance