Striving to safeguard global supply chains

Breaking barriers: An employee works on the production line at Jingjin filter press factory in Shandong province. China has made it clear that any attempts to sever supply chains will harm the world. — Reuters

BEIJING: China’s recent emphasis on safeguarding global supply chains highlights the urgency and vital importance of deeper international cooperation in key fields, as the world struggles with disruptions in sectors such as semiconductors, energy and food as well as other industrial chain challenges, experts say.

Amid the global economic downturn and geopolitical uncertainties, China has made it clear that any attempts to sever supply chains will harm the world, and the country will continue to play an important and positive role in stabilising global industrial chains, they added.

During his meetings with leaders of a number of countries on Indonesia’s resort island of Bali earlier this month, president Xi Jinping called for more efforts to stabilise global industrial and supply chains.

Among the leaders he met during the G20 Summit were US president Joe Biden, South Korean president Yoon Suk-yeol and Dutch prime minister Mark Rutte.

During their discussions, Xi said that starting a trade or technology war, building walls and barriers, and pushing for decoupling and severing supply chains all run counter to the principles of a market economy and undermine international trade rules.

He reiterated Beijing’s opposition to politicising and weaponising economic and trade ties as well as exchanges in science and technology, saying that such attempts serve no one’s interests.

Bai Ming, deputy director of international market research at the Chinese Academy of International Trade and Economic Cooperation, said: “The remarks send a strong message that the world is a community where all countries need to cooperate rather than decouple from one another. They show that China is a responsible country amid challenges.”

The discussions bear particular importance, as they came after the US government imposed a series of well-calculated restrictions or controls on exports of advanced semiconductor technology to China.

Washington is also pressuring other countries, such as South Korea, Japan and the Netherlands, which are major players in the global semiconductor sector, to adopt similar chip restrictions on China.

“Direct communication with leaders of the countries concerned can clarify the strategic intentions, and clearly express the message that any attempts to exclude China from industrial chains will impede global economic recovery,” said Zhang Tengjun, deputy director of the China Institute of International Studies’ Department for Asia-Pacific Studies.

According to Zhang, that is in line with the outlook of many Asian countries. “During the meeting with his South Korean counterpart, president Xi stressed the need to deepen cooperation in areas such as high-tech manufacturing.

“The two economies are highly complementary and there is no conflict of fundamental interests between the two sides,” Zhang added.

The Netherlands has also displayed its intention to resist US calls to ban chip equipment sales to China. The country will make its own decision regarding Dutch company ASML’s chip gear sales to China amid trade rule talks with others. — China Daily/ANN

Article type: free
User access status:
Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!

China , supply chain , Xi Jinping , trade , technology


Next In Business News

Proton sales up 162% YoY in Jan 2023
F&N's net profit for 1Q jumps to RM198.79mil on better beverage sales, exports from Malaysia
SDP’s palm oil imports to United States given the greenlight
Ringgit ends trading week lower
IJM names Lee Chun Fai as group CEO & MD
FBM KLCI claws back to positive territory
Turkey inflation higher than expected at nearly 58%
AirAsia X plans to add more flights to Busan by year-end
Asian shares rise, currencies drop ahead of U.S. jobs data
Petronas set to buy Wirsol Australian renewable energy assets -sources

Others Also Read