China and Russia ties are creating divisions within the EU

BRUSSELS – China’s relationship with Russia has caused discomfort and division in the European Union, with some in the bloc saying it is time to rethink its relationship with Beijing.

Chinese President Xi Jinping traveled to Russia earlier this week, where the two leaders shared their concerns, warm words and called them “dear friends.” Speaking to Russian President Vladimir Putin, Chinese leader Xi predicted voters would re-elect his Russian counterpart next year and described his leadership as “strong.”

The talks are being closely followed by officials in the US and the European Union, particularly over potential military support Beijing could provide to Moscow, which could help them push ahead with the war in Ukraine.

However, more and more, the stronger ties between Moscow and Beijing are creating problems for the European Union, which has now strengthened its economic ties with China.

There is a school of thought that the EU should tightly curb relations with Beijing – something that the United States will welcome. But some EU leaders prefer to be careful with their words and actions if they stand up to Beijing.

Xi’s visit to Russia “was an eye-opener for us in Europe,” Arturs Krišjānis Kariņš, Latvia’s prime minister, told CNBC on Thursday.

“If it’s possible, a lot of people are hoping that China can be or take a role [peace] broker, China does not do this at all. China is definitely moving now openly on Russia’s side. And this is actually a big challenge and a big difficulty for all of us,” he said.

Last month, China presented a 12-point plan for peace between Russia and Ukraine. The plan failed to specify that Russia would have to leave Ukrainian territory for the deal to be completed. Kyiv has made it clear that it will not agree to a peace deal that excludes control of its territory, including Crimea, which the Kremlin annexed in 2014.

“We have checked carefully [the] communication out of Xi Jinping’s meeting with Vladimir Putin, “Dutch Prime Minister Mark Rutte told CNBC. “We very much hope that the call will take place as soon as possible between Xi Jinping and Volodymyr Zelenskyy.”

There is speculation that the Chinese leader will now, after leaving Moscow, talk to the Ukrainian president since the invasion began in February 2022.

However, there are doubts in western countries that China can be an effective mediator between Russia and Ukraine. When asked if he believed Beijing was doing it, Rutte said: “It’s hard to assess.”

While Ukraine has previously called out Hungary and Germany for being too close to Russia, it has maintained a friendlier tone towards Beijing.

“I don’t want to do China bashing just for the sake of China bashing,” Luxembourg Prime Minister Xavier Bettel told CNBC in Brussels on Thursday. He said that China is a competitor of the European Union, but also a partner. Indeed, by 2022, China will be the third largest destination for goods from the EU.

“It’s the same for TikTok,” Bettel continued. “In my country TikTok is still not banned. I don’t ban TikTok because it is Chinese, but if I have evidence that something is wrong, I will ban it – but I don’t like to do bashing or ban without proof.”

European institutions, Belgium and Denmark – among others – have banned the use of Chinese-owned applications on work phones out of concern for national security.

Speaking in Davos, Switzerland, in January, French Finance Minister Bruno Le Maire said France’s view was to engage with China.

“China cannot go out, China must go in. This is the difference from the view we have between the US and Europe,” he said. “We don’t want to fight China, we want to join China.”

Overall, the EU is stuck between a rock and a hard place. Trade relations with China are important, especially at a time when economic growth in the EU is vulnerable to the war in Ukraine. But at the same time, it is witnessing a closer bond between Beijing and Moscow that could be in direct conflict with the EU’s goal of peace in Ukraine.

In addition, the EU has become more dependent on the United States for security issues since the invasion and Washington’s rhetoric, meanwhile, is increasingly critical of China.