EG Newsletter

Hi everyone!

After being paused due to operational constraints, the European Guanxi Newsletter is back (from now on, on LinkedIn) with your monthly dose of EU-China relations.

Our newsletter is designed to help you keep updated with EU-China news. Here, we do our best to cover the most relevant issues concerning politics, economy, science, technology, media, and society.

Thanks for patiently waiting, scroll down and enjoy the reading!

Veronica Zanon, Vice-Head of the Communications Team

What’s new on European Guanxi’s Blog??

Are you updated with our latest publications? Don't worry, we've got you covered?

“Mutual respect” under strain: Three determinants of instability in the current China - South Korea relationship by Davide Barattin

Pragmatic Offensive Realism in the South China Sea by Caroline Seil

Discovering China through the dictionary: the story of polyglot Emil Krebs by Stephan Raab

National Humiliation and China’s claims in the South China Sea by Carl-Henry von Mansberg

Luxury, Dragons, and Consumer Aspirations: A Chinese New Year Tale by Giulia Busnardo

Language and Culture Corner

The busiest streets have no garbage in sight and the public spaces are clean - all due to the invisible workers also known as "janitors"

Zhang Xiaoman is a former journalist whose mother was a cleaner. She wrote a book about what it takes to be a cleaner and the social construct around the job in China.

Want to know more? Click Here to read the full story.

by Camila Coelho

Enter the Year of the Dragon

Every year, the Spring Festival holiday takes over China and East Asia. 2024 makes no exception: February 10th, the start of the Lunar New Year, marked the beginning of the Year of the Dragon (Lóng nián 龙年) and kicked off celebrations all over the Country. According to tradition, the dragon is the only mythical animal of the zodiac and it is believed to symbolize strength, ambition, and charm.?

by Selina Martino

Tech

Data from Chinese apps suggest an economic boost

Preliminary data from Alipay suggests a resurgence in overseas Chinese tourism, with transactions up 7% from 2019 during the recent holiday period. Chinese consumer spending abroad has reached 82% of pre-pandemic levels , with top destinations including Hong Kong, Japan, and Thailand. Anticipated data and rising shares of Trip.com Group indicate optimism for travel recovery . Meituan reports a 36% increase in daily spending on dining and entertainment. China's box office revenue surpassed 7 billion yuan during the holiday period. New trends show that Chinese tourists spend more on food and local experiences.

by Noemi Capelli

Economy

In 2024 the Chinese growth rate will decrease

According to the International Monetary Fund (IMF), the Chinese economy will continue to register a modest growth rate as the projects indicate a 4.5% growth in 2024 , compared to the 5% of the previous year. The property sector crisis is the main determinant strongly prompting the Beijing authorities to favor financial stability over aggressive growth. Nonetheless, the consumers are confident that the economy will recover the pre-COVID era strength.?

China gets overtaken by Mexico as the US top exporter?

In 2023 American importation of Chinese goods drastically reduced by a 20% share from the year before, thus leading to the lowest level of trade deficit between the two since 2010 . Because of the instability of Sino-American relations, US companies are reducing their reliance on Chinese imports , thus fostering trade with Mexico and Southeast Asian countries. This phenomenon has been backed up by the Biden administration, which has framed it as “friend-shoring ”.?

EU Commission plans to bolster “de-risking” with Beijing

At the end of January, the European Commission proposed a package to improve EU economic security by intensifying the screening of foreign investment and the controls on exports of technologies. Even if the plans don’t cite it directly, China is the main target of these policies and this strategy seemingly enforces Von Der Leyen’s doctrine of de-risking with Beijing . One key point of the main goal is ensuring coordination between the EU member states, thus fulfilling the European need for a coherent economic security policy towards China.?

by Emanuele Ballestracci

Politics

President Xi Jinping addressed a speech to the nation on the eve of the Spring Festival, highlighting the achievements and challenges of the past year and outlining the goals for the upcoming Year of the Dragon

Here are the key points from his speech :

• Reflections on Progress: President Xi applauded China's economic recovery, technological advancements, and social stability, citing achievements in poverty alleviation, ecological improvement, and disaster response. In the Chinese version of his speech, President Xi cited a poem by Mao Zedong to describe the resilience of the Chinese economy compared to the rest of the world.
• Diplomatic and Defense Milestones: President Xi discussed China's diplomatic initiatives, support for Hong Kong and Macao, and opposition to separatist movements. He underscores China's contributions to global peace and development.
• Future Goals: Looking ahead, President Xi outlined priorities for 2024, including deepening reforms, promoting high-quality development, and maintaining stability. He emphasized the importance of unity, innovation, and perseverance in achieving national rejuvenation.
• Symbolism of the Dragon: President Xi invoked the symbolism of the dragon, representing China's enduring spirit and determination for progress. He calls on the nation to embrace this spirit and work together towards modernization and prosperity.

by Noemi Capelli