London Daily

Focus on the big picture.
Sunday, May 11, 2025

Olaf Scholz won’t dump China. Will Europe ever learn?

Olaf Scholz won’t dump China. Will Europe ever learn?

As Xi Jinping embarks on another five-year term, fears grow that Germany is repeating the mistake it made by getting too close to Russia.

It was early fall, 1959. A senior official from Mao’s China was leading a mission to Kyiv, then part of the Soviet Union. He inspected factories, learned about state planning, and took an afternoon boat trip on the Dnipro River with his 30-plus comrades. It’s nothing like the Ukraine his son has to deal with today.

Xi Zhongxun, father of the current Chinese President Xi Jinping, led the visit. As secretary-general of the State Council, the government arm of the Communist Party, Xi the senior spent a total of four days in what is now Ukraine’s capital. The trip also took him to Moscow and Prague, and apparently left a mark on the boy who would one day run the only powerful Communist Party left standing on earth.

“He would later tell Russian sinologists that, even though he was merely six at the time, he remembered how warmly his father spoke of his trip to the USSR and the many photos his father had taken," said Joseph Torigian, a scholar at American University who dug up old newspaper clippings about Xi’s trip in Moscow’s Lenin Library.

As Xi junior, now president-for-life, embarks on a landmark third term in office this week, Europe is gearing up for choppy waters ahead. From the race for tech supremacy to potential armed conflicts between Beijing and Washington, Europe has little cause to celebrate the dominance of China's most powerful leader since Mao.

Indeed, the mood has shifted so dramatically that European leaders last week raised the alarm over the strategic threat China poses to the West. Gone is whatever goodwill there used to be on climate collaboration or trade.

"Under the leadership of Xi, Europe’s relationship with China has deteriorated,” said Janka Oertel, Asia director at the European Council on Foreign Relations. "With Xi, China changed – not Europe. But Europeans are now adjusting to the new reality.”

In part, Europe’s awakening is a response to China’s brutal acts of domestic repression, its regional assertiveness and aggressive diplomacy. These have all alienated Western policymakers, Oertel said.

But more than anything, it is China's strategic alliance with Russia — amid Vladimir Putin's war in Ukraine — that has driven an urgent rethink in EU capitals. While Beijing has not provided Russia with military assistance, tacit economic and political support is clear.

One theory for Xi’s reluctance to condemn Putin over Ukraine is China’s own ambitions to bring Taiwan — a democratic island of 23 million — under Beijing’s direct control.

“Are we moving in a downward spiral?” Germany’s Ambassador to the EU Michael Clauss, formerly Berlin’s top envoy to Beijing, said last week. “Much will depend on China’s next steps especially when it comes to dealing with Russia and Taiwan.”

Xi's plans for Taiwan might have gone unnoticed had the man he once called his best friend, Putin, not woken up Europe with a brutal invasion of Ukraine. The sheer scale of the eight packages of EU sanctions on Russia saw an unimaginable level of near-total decoupling for Europe since the end of the Cold War, even if those measures pose a direct, negative impact on the European economy.

Xi keeps talking about peaceful reunification as a preferred option in his latest remarks on Taiwan, including during the Congress. In reality, the scope for peace is smaller than ever.

Chinese President Xi Jinping and French President Emmanuel Macron meet in Beijing, 2019


Beijing's military put on a fierce display of prowess in the wake of U.S. House Speaker Nancy Pelosi's visit to Taipei, launching ballistic missiles that flew over Taiwan's capital while carrying out live-fire exercises around the island in what felt like a rehearsal for a future invasion.

In boardrooms, international conferences and government meetings nowadays, Taiwan has become the inevitable question facing European businesses and policymakers. How soon will China wage a war? How will Europe react economically? What about all the businesses they have with the world's second largest economy? And how about the most advanced microchips they have predominantly sourced from Taiwan?

"I think that our failed European policy [on] Russia is making many of us in the room to rethink about our approach to China,” Lithuania's Foreign Minister Gabrielius Landsbergis told POLITICO, referring to the attitude among his fellow EU peers. "Fool me once, that’s on me. Fool me twice? That’s the other way.” Countries do not want to find themselves again regretting that they took an “authoritarian power for granted.”

In Brussels, officials are encouraging EU governments to pursue broader economic engagement with Taiwan. At the same time, the EU is also telling capitals to cut their dependency on the advanced semiconductors that Taiwan specialises in making. Nearly 90 percent of the most advanced chips Europe consumes come from Taiwan Semiconductor Manufacturing Company (TSMC).


Berlin goes solo


As much as Brussels may wish for European unity in the face of turbulence with China, Berlin, at least, still prefers to do things its own way. Indeed, Xi’s instinct has been to turn to Germany when he needed Europe on his side. That was at least until Angela Merkel left her top job as chancellor.

Berlin’s current coalition is so far sending confusing messages on how it plans to handle relations with Xi. German Chancellor Olaf Scholz is planning a trip to China early November, bringing with him a business delegation just months after he used a trip to Japan to highlight the need for businesses to diversify away from Beijing.

He's also expected to overrule six of his ministries to approve a contentious deal by China's state-run shipping giant to acquire a minority share of one of the ports in Hamburg, where he used to be a mayor.

Scholz’s approach has raised eyebrows in Brussels, where last week he flatly told his EU counterparts there should be no “decoupling” from Beijing.

It’s not a view universally held in Berlin, after the Ukraine war exposed the folly of relying on energy links with Putin's Russia.

In a recent interview with Süddeutsche Zeitung, Scholz’s coalition partner, Foreign Minister Annalena Baerbock attacked businesses for building up their dependency on China. “Complete economic dependence based on the principle of hope makes us politically blackmailable,” she said.

“The task of a responsible economy — and even more so of politics — is not to allow us to get back into a situation where in a few years’ time, [we] have to save the chemical and auto companies with billions in taxes, because they have made themselves dependent on the Chinese market, for better or worse.”

In private, she is equally straightforward. During one of her earlier conversations with Chinese Foreign Minister Wang Yi, he was praising how popular the Chinese president was, citing opinion polls. It’s a tactic he’d been using for years, in a way to belittle the “less” popular leaders in Western democracies. Most listeners usually smiled politely but Baerbock hit back.

According to "No Limits", an upcoming book by Andrew Small, Baerbock replied that her constituency in East Germany used to return similar numbers back in its Soviet days. Xi’s father would no doubt have agreed.

Newsletter

Related Articles

0:00
0:00
Close
Trump fires director of U.S. Copyright Office, sources say
Retired British police officer arrested over ‘thought crime’ tweet
Cardinal Robert Prevost Elected as Pope Leo XIV, Marking a Historic Papacy
Newark Mayor Ras Baraka Arrested at ICE Facility Amid Congressional Visit
India-Pakistan conflict may be first test for Chinese military tech
Bill Gates Announces Plan to Wind Down Philanthropic Foundation and Disperse Wealth
Historic Papal Conclave Set to Commence in Rome
Huge Copper, Gold, and Silver Discovery in Argentina and Chile — But the Profits Go Abroad
Prince Harry is pleading for reconciliation — but the royals are just as sick of his victimhood as everyone else
The Road to Freedom: She Protested Putin, Escaped House Arrest, and Survived a 2,800-Kilometer Journey
OpenAI's Flip-Flop: No Longer Going Commercial, Back to Nonprofit, After Musk Lawsuit and Backlash
“Trump Supporter” Aims to Bring a MAGA-Style Shift to Romania
First From China: Zhao Xintong Wins the Snooker World Championship
Nvidia Faces Billion-Dollar Losses – Warns: China Is on Its Way to Becoming an AI Superpower
Trump Rules Out Third Term, Names JD Vance and Marco Rubio as Potential Successors
Mexico Says ‘No’ to U.S. Troops: President Sheinbaum Rejects Trump’s Offer to Fight Cartels
Nigel Farage’s Reform UK Storms the Map, Wrecking the Two-Party Monopoly
DOGE: Reimagining Government Operations with AI
Common Sense Returns to Britain's Legal System: UK Supreme Court Declares a Woman Is… a Woman
Beijing Says U.S. Is ‘Reaching Out’ for Tariff Talks Amid Soaring Trade Tensions
U.K. Court Rejects Prince Harry’s Final Appeal Over Police Security
Prince Harry’s Heartfelt Outburst Rocks the Royal Family
Trump Shares AI-Generated Image of Himself as… Pope, Prompting Outrage Reaction
Transgender Swimmer Secures Five Gold Medals at U.S. Masters Championship
Prince Harry: “I Want Reconciliation with My Family”
Germany's Alternative für Deutschland (AfD) party has now been officially labeled “right-wing extremist” by the federal office for the so-called “protection of the constitution.”
Amazon Launches Satellite Internet Service Amidst Competition with SpaceX
Transformative Changes in Women's Wrestling: The Rise of WWE Superstars
The Rush to the White Gold: Global Investment Surge in Natural Hydrogen Exploration
This is a day in Spain without electricity and internet
Reform UK Surprises in British Elections, Challenging Traditional Two-Party System
180-Year-Old Christian University in South Carolina Announces Closure Due to Unmet $6 Million Fundraising Goal
Brazilian Woman Jailed for Fourteen Years for Writing “You Lost, Idiot” on Statue During Protest
Trump Administration Removes National Security Adviser Mike Waltz Amid Signal Chat Controversy
Dutch Politician Eva Vlaardingerbroek Receives Spyware Threat Alert from Apple
Paramount Board Considers Settlement in Trump’s $20 Billion Lawsuit Over "60 Minutes" Interview
U.S. Economy Shrink in Trump’s First Quarter as Tariff Policy Raises Questions
Deadline Looms for RTS Meter Replacement: Hundreds of Thousands at Risk of Heating Disruption
Sweden Grapples with Deadly Gun Violence: Suspect Arrested After Three Young Men Killed in Uppsala Hair Salon
Walz Reveals Why Harris Chose Him as Her Running Mate and Reflects on Democratic Losses
Spain Restores Power After Unprecedented Nationwide Blackout
Carney Secures Liberal Mandate in Canada’s Federal Election
Death Penalty Sought as Luigi Manion Pleads Not Guilty in CEO Murder Case
President Trump contacts Jeff Bezos after reports of Amazon considering listing tariff surcharges; company clarifies no such plan for main platform
Spain and Portugal Recover from Massive Blackout
Liverpool Clinches Record-Equalling 20th English League Title Under Arne Slot
Singapore Politicians Warn Against Foreign Interference in Election
Driver Ploughs into Vancouver Festival Crowd, Killing Nine
Depression, Fear of Defamation, and a Tragic End: New Details on Virginia Giuffre’s Suicide
“Sharia for UK, Allah Akbar!”
×