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UK Trade Secretary Plans Visit to China Amidst Complex Trade Relations
In a move aimed at rekindling significant economic discussions, UK Trade Secretary Jonathan Reynolds is set to visit Beijing later this year. This trip comes months after he expressed concerns regarding past British policies that permitted Chinese investments in sensitive sectors.
The primary objective of Reynolds’ journey is to revitalize the UK-China joint economic and trade commission (Jetco), which has remained inactive since 2018, a period marked by a downturn in relations following Beijing’s actions in Hong Kong.
Documents released after Shadow Chancellor Rachel Reeves’ visit to China earlier this year highlight the Treasury’s intentions to revive these vital discussions. Furthermore, the UK government is expected to complete a comprehensive audit of UK-China relations by June, although the complete findings will not be made publicly available.
This audit, fulfilling a commitment made in the Labour manifesto, aims to generate several recommendations for policy improvements. These may include enhancing expertise concerning China within the government, potentially incorporating Mandarin language training and educational programs for civil servants and members of parliament. The Foreign Office has opted not to comment on the matter.
Notably, Reynolds’ attendance at this upcoming meeting may raise questions given his recent remarks that the UK has historically been “far too naive” regarding Chinese investments in critical areas like steel manufacturing.
As the UK government faces mounting pressure to adopt a firmer stance on human rights and security issues in relation to China, Liberal Democrat MP Wera Hobhouse has publicly criticized the government’s dealings with Beijing. Recently denied entry to Hong Kong, where she intended to visit her grandchild, she argues that the UK should prioritize accountability and transparency in its interactions with Chinese authorities.
Hobhouse believes her deportation stems from her vocal criticism of China’s human rights record, making her call for clarity on such issues an imperative before any UK ministers proceed with official visits to China.
The recent government decision to take control of the Scunthorpe steel plant from its Chinese owners amidst deteriorating relations underscores the cautious approach officials are adopting. Some observers suggest that actions by Jingye, the Chinese company, might have aimed to limit the UK’s capacity to produce its own virgin steel.
Reynolds commented on these trade intricacies during an interview, emphasizing the need for discernment in sectors where cooperation with China is viable versus those that present national security concerns. He expressed hesitation about allowing Chinese firms into critical industries like steel.
Despite this, he acknowledged that many areas of UK-China trade, including agriculture, life sciences, and the automotive sector, remain non-contentious and may offer pathways for collaboration.
In a slight shift from his earlier position, Reynolds indicated that he would reassess potential Chinese business involvement, reflecting a nuanced approach to future interactions. His planned visit signals the government’s intention to continue engaging with China while navigating the complexities of diplomatic relations.
Labour leader Keir Starmer is also anticipated to make a trip to China later this year, suggesting a broader trend of engagement with Beijing amidst ongoing discussions about trade and investment.
Earlier discussions surrounding the revival of the Jetco during the tenures of Boris Johnson and Rishi Sunak illustrate a continual interest in enhancing bilateral relations, notwithstanding varying opinions within the government regarding the nature and extent of collaboration with China.
As the UK prepares for these high-level talks, the implications of its trade policies and diplomatic strategies with China will likely be a focal point in both political and economic discourse in the coming months.
Source
www.theguardian.com