Archive for ‘Liquefied natural gas’

06/11/2019

French President Emmanuel Macron tells Chinese leader Xi Jinping talks are needed to calm Hong Kong situation

  • French leader calls for restraint and says he raised the topic ‘on several occasions’ during his visit
  • Two sides find common ground on need to defend free trade and fight climate change as Donald Trump starts process of pulling US out of Paris Climate Agreement
Xi Jinping and Emmanuel Macron at a welcome ceremony ahead of their talks in Beijing on Wednesday. Photo: AFP
Xi Jinping and Emmanuel Macron at a welcome ceremony ahead of their talks in Beijing on Wednesday. Photo: AFP

French President Emmanuel Macron said he raised human rights and the Hong Kong situation during his talks with his Chinese counterpart Xi Jinping on Wednesday.

Macron’s visit to China concluded with pledges to work together on climate change, but the French leader also said he also called for a de-escalation of the situation in the city through dialogue after months of protests.

Macron, who had promised to raise “taboo” topics during the visit, told a press conference: “I obviously raised this with President Xi Jinping on several occasions.

“We have repeatedly called on the parties involved to [engage in] dialogue, to show restraint, to de-escalate.”

The discussion followed Xi’s meeting with Hong Kong’s embattled Chief Executive Carrie Lam Cheng Yuet-ngor in Shanghai on Monday, where he expressed “high trust” in her and “fully affirmed” support for her response to the unrest that has gripped the city since June.

Earlier the French and Chinese leaders had restated their commitment to protect free trade and pledged their continued support for the Paris Agreement as the United States begins the process of formally withdrawing from the global climate deal.

Macron expressed “regret” over “some countries’ negative attitude” towards environmental protection and the fight against climate change and pledged to work with China to halt the loss of biodiversity.

The French president’s office also released a statement on Wednesday that reaffirmed France and China’s joint support for the “irreversible” Paris Agreement.

Macron points to common ground with China on tariffs and climate action

With the European Union, China and Russia backing the pact, he added, “the isolated choice of one or another is not enough to change the course of the world. It only leads to marginalisation.”

The two countries also agreed to work together to develop joint nuclear power projects and signed a series of contracts worth US$15 billion.

The deals covered aeronautics, energy and agriculture, including approval for 20 French companies to export poultry, beef and pork to China.

An additional action plan released after the talks said French utility giant EDF and China General Nuclear Power should be encouraged to cooperate on projects in China or third countries, citing the joint efforts by the two companies to build nuclear reactors at the Hinkley Point C station in Britain as an example.

The two sides also committed to signing a contract for the construction of a nuclear fuel recycling plant in China, which would involve French energy giant Orano, by January 31.

Xi took what appeared to be a veiled swipe at the United States, which is still embroiled in a protracted trade war and other confrontations with Beijing.

“We advocate for mutual respect and equal treatment, and are opposed to the law of the jungle and acts of intimidation,” Xi said.

“We advocate for openness, inclusion and for mutually beneficial cooperation, and are opposed to protectionism and a zero-sum game.”

Macron said China and the European Union should work in partnership as the world became more unstable, calling on the two sides to further open up market access.

“We call again for trade multilateralism to respond to distortions that have appeared in the global economy, which have led to a profound rise in inequalities and imbalances that explain the surge of challenges to the international systems,” he said.

“China and Europe also share the same views that the trade war only leads to loss.”

Macron kicks off China visit with deal to protect wine and cheese from counterfeiting

Chinese state news agency Xinhua said the two countries agreed to work together to push forward with plans to assemble Airbus’s A350 model in China.

Meanwhile, Beijing Gas Group and French utility firm Engie will collaborate on a liquefied natural gas terminal and storage in the northern city of Tianjin, while France’s Total will set up a joint venture with China’s Shenergy Group to distribute liquid nitrogen gas by truck in the Yangtze River Delta.

The two countries also agreed to reach an agreement by the end of January 2020 on the cost and location of a nuclear fuel reprocessing facility to be built by Orano, formerly known as Areva.

Wu Libo a professor and director of the Centre for Energy Economics and Strategies Studies at Fudan University, said there was “great potential” for further cooperation between the two countries on nuclear energy.

“France has many useful experiences in the operation and management of nuclear power plants and its plants have long-term safe and stable operation records,” she said.

The two sides agreed to work together on joint nuclear power projects. Photo: AP
The two sides agreed to work together on joint nuclear power projects. Photo: AP

Jiang Kejun, a senior researcher at the Energy Research Institute of China’s National Development and Reform Commission, said China’s cooperation with France would add credibility to potential third-country projects.

“China has advanced third-generation technology but it’s still a new member in the nuclear power market, while France has developed nuclear energy for a long time, and its EPR reactors – a technology designed and developed in France – are in business operation,” he said.

Jiang said possible markets for the joint projects included Argentina and India, while some Middle Eastern states – such as Saudi Arabia and Qatar – had expressed interest in nuclear energy.

China’s ambassador hits out at Macron’s team for backing ‘hypocritical’ EU stance on Hong Kong

Tong Jiadong, professor of international trade at Nankai University, said that the deals between the two sides helped show that France and China could work together to counteract US unilateralism.

“Objectively speaking, this will form, or at least imply, an opposition to US unilateralism,” Tong said. “China hopes the cooperation between these two countries produces demonstrable effects for other EU member states.”

Ding Chun, a professor of European Studies at Fudan University, said he did not think the EU wanted to “choose a side” between the US and China.

But Ding continued: “If we are talking about free trade and multilateralism, there’s no doubt that the EU and China share a common view and can balance Donald Trump’s unilateralism.”

Source: SCMP

29/10/2019

Donald Trump, Xi Jinping set for November 17 meeting in Chile to sign interim trade war deal: source

  • Chinese President Xi Jinping and US President Donald Trump set to meet on the sidelines of the Apec summit in Chile next month, a source says
  • The two state leaders are expected to sign an interim trade deal ‘if everything goes smoothly’
Chinese President Xi Jinping and US President Donald Trump have met twice already over the course of the 16-month trade war. Photo: AP
Chinese President Xi Jinping and US President Donald Trump have met twice already over the course of the 16-month trade war. Photo: AP

Chinese President Xi Jinping and US President Donald Trump are tentatively expected to meet on November 17 with the aim of signing an interim trade deal, a source briefed on the arrangements told the South China Morning Post.

The two leaders are expected to come face-to-face immediately after the Asia-Pacific Economic Cooperation (Apec) summit in Santiago, Chile, with a trade truce signed “if everything goes smoothly”, said the person, who declined to be identified.

Trade envoys from Beijing and Washington are still finalising the text for the two leaders to sign, but both sides have expressed optimism that Trump’s so-called phase one trade deal can be completed in time for the meeting.

Trump said on Monday that negotiations on the interim deal were running “ahead of schedule”.

“We are looking probably to be ahead of schedule to sign a very big portion of the China deal, and we’ll call it phase one but it’s a very big portion,” Trump said. “That would take care of the farmers. It would take care of some of the other things. It will also take care of a lot of the banking needs.

“So we’re about, I would say, a little bit ahead of schedule, maybe a lot ahead of schedule,” the president said, adding the deal would “probably” be signed.

Top trade negotiators for the two countries – US Treasury Secretary Steven Mnuchin, US trade representative Robert Lighthizer and Chinese Vice-Premier Liu He – spoke by telephone last Friday. The Office of the US Trade Representative released a statement after the call saying that the two sides “made headway on specific issues” and “are close to finalising some sections of the agreement”.

China’s official Xinhua News Agency said on Saturday negotiators have “agreed to properly resolve core concerns of each other” and had “basically completed technical discussions about parts of the text”. In particular, China would lift the current ban on US poultry imports and recognise the American public health certification system for meat product imports, Xinhua said.

The top trade envoys are expected to hold another conference call in the near future.

China's Vice-Premier Liu He between US trade representative Robert Lighthizer (left) and US Treasury Secretary Steve Mnuchin during trade negotiations in Washington this month. Photo: Reuters
China’s Vice-Premier Liu He between US trade representative Robert Lighthizer (left) and US Treasury Secretary Steve Mnuchin during trade negotiations in Washington this month. Photo: Reuters

Taoran Notes, an account on Chinese social media platform WeChat run by the official Economic Daily newspaper, wrote over the weekend that Beijing and Washington had moved a step closer to agreement on a “temporary deal”.

“According to past experiences and practises, the negotiation will enter the stage of translation and legal review after the technical completion of the text,” the account said.

Geng Shuang, a Chinese foreign ministry spokesman, said that technical negotiations about part of the deal were finished but deputy-level talks were ongoing. “China hopes both sides can find a trade solution based upon mutual respect and benefits,” Geng said at a regular press conference on Tuesday.

If it goes ahead as planned, the summit between Trump and Xi in Chile next month would be the third time the two leaders have sat down to talk about ending the nearly 16-month-long trade war.

Last December, the two leaders met on the sidelines of the G20 Leaders’ Summit in the Argentinian capital Buenos Aires and agreed to a three-month tariff truce to allow time for the countries’ trade envoys to work out a comprehensive deal. But the talks collapsed in early May with the US blaming China for reneging on promises it made in negotiations, while China blamed the US for attempting to infringe on its economic sovereignty.

The pair met again in late June in the Japanese city of Osaka, where they agreed to restart trade negotiations.

A minor ceasefire was reached in October when Beijing promised to buy US$40 billion to US$50 billion worth of American agricultural products in exchange for Washington postponing indefinitely a tariff increase on US$250 billion of Chinese goods to 30 per cent from 25 per cent on October 15.

Analysts expect fresh 15 per cent duties on about US$160 billion of Chinese imports – including popular products like smartphones and consumer electronics – that are due to go into effect mid-December will also be postponed if a deal is signed, though this has not been officially confirmed.

The interim deal is also expected to contain a provision on intellectual property protection, a key US demand. China has taken steps to improve IP protection, including setting up a system to punish and compensate instances of infringement, and improve settlement disputes. But how well these measures will be implemented remains in question.

China and the US would also agree to avoid allowing currency devaluations to gain trade advantages, codifying a commitment both countries made as part of a G20 agreement several years ago. A currency agreement – similar to provisions in the yet-to-be-ratified US-Mexico-Canada Agreement – could pave the way for the US to remove its designation of China as a “currency manipulator”.

The deal may include a new dispute resolution mechanism to ensure both sides live up to commitments. The system, which will give both sides equal standing, would replace a contentious US-proposed enforcement mechanism that was a key reason for trade talks breaking down in May after China felt the demands too intrusive and one-sided. It is unclear how effective the proposal would be, but the US has insisted since talks began that a similar mechanism be implemented to ensure China did not backslide on promises as it had in the past.

In addition to large purchases of farm products, the interim agreement may contain commitments by China to buy US-built aircraft and energy products, particularly liquefied natural gas.

China will also agree to lift foreign ownership limits on Chinese financial firms under the deal, changes which are already underway.

However, the interim deal will not address broader US complaints about China’s economic model, particularly allegations that foreign firms are treated unfairly and heavy government subsidies favour some domestic industries. Nor will it contain any break for telecommunications equipment maker Huawei and other Chinese tech companies that were blacklisted by the US on national security concerns.

Source: SCMP

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