(Reuters) – French President Emmanuel Macron called on Chinese leader Xi Jinping to boost cooperation in geopolitics, trade and the environment, as the European Union seeks China’s help to end the war in Ukraine and Beijing seeks economic gains from U.S. tariffs.
On his fourth state visit, Macron is walking a delicate tightrope, trying to reduce France’s huge trade deficit with China and secure manufacturing jobs at home to bolster his legacy without antagonizing the world’s second-largest economy.
China, for its part, wants to ease trade frictions with the 27-member EU over its heavily subsidized electric vehicle sector, while presenting itself as a more reliable market than the U.S. for economies hit by President Donald Trump’s tariffs.
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“The imbalances we see accumulating today are not sustainable, they carry the risk of triggering a financial crisis and they threaten our ability to grow together,” Macron told his host during Thursday’s meeting in Beijing’s Great Hall of the People.
‘There are solutions,’ he said, calling for fairer and stronger rules rather than ones based on ‘survival of the fittest’.
Xi told Macron that their countries should follow their own geopolitical paths.
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‘No matter how the external environment changes, our two countries must always demonstrate the independence and strategic vision of great powers,’ he declared.
However, no major trade deals were signed at the ceremony between Xi and Macron, who traveled with a large business delegation. Nothing was said about an Airbus order package that the group has been discussing with Beijing for months and which is usually linked to diplomatic visits.
The Chinese leader was not expected to approve the long-awaited order for 500 Airbus jets as it would weaken Beijing’s influence during trade talks with the US, which is pushing for new purchase commitments from Boeing.
Senior executives from Airbus, France’s biggest bank BNP Paribas, electrical giant Schneider and train maker Alstom, along with leaders of French dairy and poultry groups, joined Macron in China.
Broader power dynamics at play
Macron, who like other European leaders has been pleading in vain with Beijing to pressure Moscow to end the war in Ukraine, reiterated his plea on Thursday.
“I hope China will join our call and our efforts to at least reach a ceasefire as soon as possible and a moratorium on attacks targeting critical infrastructure,” he said. ‘This is key as winter is coming.’
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China recently offered its assurances to Russia about China’s continued support. Xi said China remains committed to peace in Ukraine.
On Friday, Xi will accompany Macron to southwest China’s Sichuan province, a luxurious treat considering Xi rarely joins visiting world leaders after they leave Beijing. Macron also invited Xi for tours of the province when he went to France.
However, despite the apparent cordiality between the two, analysts say the broader power dynamics between Europe and China were at play.
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Xi is unlikely to raise the minimum prices required for most French cognac sales in China, after the anti-dumping probe that led to the pricing rule was launched in response to the EU’s decision to impose import tariffs on Chinese electric vehicles.
Chinese tariffs on EU pork shipments are also not expected to be reduced as Beijing seeks to pressure Brussels to agree to a minimum price plan for its electric vehicles.
