Navigating China-Europe Relations: Decoupling, De-risking, and Belt and Road

Chinese Premier Li Qiang's visit to Europe highlighted that Europe is not planning to decouple from China, but instead deepen cooperation on technology and development issues in the Global South. The European Community leaders are expected to take a soft tone on China at their upcoming summit, emphasizing shared interests and respect for the rules-based international order. China's exports to the Global South have doubled since 2020, making it the largest lender to developing countries. Europe sees China's role in stabilizing the economies of the poorest countries as crucial for addressing immigration concerns. Germany, in particular, values its economic relationship with China, as it is Germany's most important trading partner. The German business community has expressed frustration with the hostility towards China from the Green Party leaders. Influential voices within the Social Democratic Party are urging more cooperation with China, rejecting an "anti-China strategy."