China banks on further cementing trade, diplomatic ties with EU

China made key strides on further bolstering economic ties with its two key trading partners - the United States and the European Union - this week, even as it displayed increasing sophistication in handling strategic relations.

The nation's keenness was visible in the statements made by Vice-Premier Wang Qishan and State Councilor Dai Bingguo during the two-day China-US Strategic and Economic Dialogue (S&ED) in Washington on May 9-10, and at the High-Level Dialogue with EU on May 12.

The early vibes from both the summits have been encouraging with both Beijing and Washington admitting that constructive results have been achieved.

In its talks with the EU, Beijing and Brussels have indicated that they intend to further deepen political trust and match their economic development programs.

The high-level strategic dialogue with the EU in Budapest involved extensive discussions by the Chinese delegation with EU foreign policy chief Catherine Ashton.

China's Foreign Ministry had earlier termed the dialogue with EU as an opportunity to boost trust and cooperation and find overlapping opportunities in Beijing's 12th Five-Year Plan (2011-15) and Brussels' 2020 Strategy.

At the same time, both Beijing and Brussels are also likely to arrive at common ground in preventing the current financial conflagration ravaging the southern parts of Europe from spreading further.

The Budapest meetings are also expected to set the tone for European Council President Herman van Rompuy's visit to China on May 15-19.

This is van Rompuy's first visit to China after Hungary assumed the EU presidency early last year.

The flurry of meetings is also expected to be the prelude for the G8 Summit meeting, on May 26-27 in Deauville, France.

China's stance on global issues is becoming increasingly important as every member of the rich-country club has interlocking relations with it.

Both Beijing and Brussels have repeatedly expressed their intention to strengthen strategic partnership and boost cooperation.

The EU has indicated that it would like to take advantage of the fast

economic expansion in China over the next few years.

In his meeting with the Chinese ambassador to EU Song Zhe on May 10, van Rompuy said that Europe and China are seeing more overlapping interests with those of the world as a whole.

Van Rompuy termed China's economic progress an integral contribution to world economic growth and recovery and wanted the EU to adopt a more positive attitude toward strong performance by emerging economies like China.

"The rapid development in China offers new opportunity, and it won't pose any threat to anyone," says van Rompuy.

Song believes that China and the EU are at a pivotal stage of development.

The very beginning of the second decade of this century has showed trends of accelerated changes in the global situation and the world is now confronted with more challenges of significance, Song says.

"Efforts to boost cooperation and join hands in facing up to the common challenges are conducive to stability and development, as well as world peace and prosperity."

Though no detailed agenda has been announced for van Rompuy's visit, Song believes that it will promote comprehensive cooperation and boost confidence for future relations.

It will also inject new vitality into the China-EU comprehensive strategic partnership, he says.

The first high-level strategic dialogue was organized in Southwest China's poorest region Guizhou province last September, to give the EU a balanced vision of its development.

In spite of the advances made by both sides to bolster relations, misconceptions about China are still widespread among EU institutions and member countries.

"There is no cooperation without trust," says Song.

"Only by strengthening mutual trust, reducing suspicion, and abandoning zero-sum mentality, can we build a solid basis and create a favorable environment for our cooperation," he says.