China, EU celebrate close trade ties amid turmoil in global markets

Trade is important for world economies, and protectionism won't help any country become "great again." This was a prevalent theme at a Shanghai forum celebrating the 50th anniversary of China-European Union diplomatic relations.

"Past experience has shown us that only when a country opens its doors to trade and investment can its economy become resilient and vibrant," Chen Deming, former commerce minister of China, told the Friday forum hosted by China Europe International Business School.

The meeting came on the eve of icebreaking China-US trade talks in Geneva, the first since the Trump administration slapped 145 percent tariffs on China imports and lower but equally punitive duties on other countries.

On Friday, China reported a better-than-expected 9.3 percent April rise in global exports, with imports up 0.8 percent.

Gains in shipments to Southeast Asia, the European Union, Latin America and Africa mitigated a 21 percent drop in exports to the US.

The EU has taken a strong stance against US tariffs and is poised to impose about 95 billion euros (US$107 billion) on US imports if ongoing trade negotiations fail.

China-EU trade relations are strengthening even as Europe expresses some worries that stockpiles of China goods stranded in warehouses by US tariffs may be diverted in part to its shores and glut member markets.

"The key is to talk and collaborate," Chen said.

The EU is China's second-largest trading partner. April exports to the EU rose 8 percent from a year earlier, while imports slipped 0.2 percent, leaving a trade surplus of US$96 billion.

China's two-way trade with the EU totaled 1.78 trillion yuan (US$245 billion) in the first four months of this year.

"We have witnessed the most rapid growth of China and deepened integration in the past five decades," Jorge Toledo, EU ambassador to China, told the forum.

He said it is hard to fathom that EU trade with China has grown in 25 years from 2 billion euros a year to 2 billion euros a day.

"Trade is important," Toledo said. "But what is the norm can no longer taken for granted. In such an unstable, insecure world, the engagement of EU and China is more important than ever."