Economy

Wen: China backing euro

By Su Qiang (China Daily)
Updated: 2010-10-04 09:15

The premier said he hopes the EU will recognize China's full market economy status as soon as possible, ease restrictions on the export of high-tech products to China and reject trade protectionism in order to create an environment conducive to the healthy growth of trade.

Greek Prime Minister Papandreou said during his meeting with Premier Wen on Oct 3 that the EU should indeed acknowledge China's market economy status and that the EU arms sale embargo should be lifted.

Chinese observers said the improvement in the relationship between China and the EU will be crucial in solving long-standing issues mentioned by Wen in his speech.

"It is more of a political issue than a technical one for the EU to recognize China's market economy status," said Feng Zhongping, director of the Institute of European Studies at the China Institutes of Contemporary International Relations.

Feng said the EU, the maker of market rules, inevitably worries about competing with China's exports, especially after China gets complete market status. Feng said the speed at which the EU can recognize China's complete market status "also depends on how much the EU thinks its relations with China matters".

Feng was upbeat about Sino-EU relations, which he said "have shown great momentum in their trade ties and cooperation in various areas".

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Jin Ling, an expert on EU studies at the China Institute of International Studies, said Sino-European ties were firmly bonded by their economic links and cooperation in such areas as techniques, climate change and energy security.

"Frictions are a result of their deepening bilateral relations," Jin said.

Wen chose Greece as the first stop in his four-nation tour, which will also take him to Belgium, Italy and Turkey.

"China and Greece, which have many things in common in their cultures and economic interests, have lots of pragmatic cooperation," Jin said. "Greece could have a crucial vote in some important issues in the development of Sino-EU relations."

Wen was expected to leave Athens for Brussels on Monday, where he will attend the eighth Asia-Europe Meeting from Oct 4 to Oct 5 and the 13th China-European Union Summit on Oct 6.