China's top diplomat urges Europe to steer clear of a trade fight as clock ticks

Why this is flaring now

Beijing and Brussels set an October target to show movement on their trade disputes, and EU leaders are slated to convene mid-next month to dig into the bloc's trade gap with China and the new tools they could use to counter Beijing's practices. That clock is colliding with another headache for China. Frictions with Washington are running hot, and Chinese leader Xi Jinping heads to the US this week with the aim of extending a trade war ceasefire in talks with President Donald Trump. Against that backdrop, Beijing is signaling it wants to cool things down with Europe rather than open a new front.

What Beijing asked of Berlin

In a call reported late Monday in Beijing, Wang Yi framed China and the European Union as "comprehensive strategic partners," adding that "a trade war should not be fought between them." He said he hopes Germany will "maintain a rational and pragmatic attitude," and encourage Brussels to "stay on the right track of open cooperation, dialogue and consultation." The appeal highlights rising anxiety that the relationship is drifting toward a confrontation at exactly the wrong time for Beijing.

Where talks stand in Brussels and Beijing

Early in the month, EU trade chief Maros Sefcovic spoke by phone with his Chinese counterpart, Wang Wentao. They discussed how exports to the EU are overseen, market access in China for European firms, and controls on rare earths. Meanwhile, Ursula von der Leyen, the President of the European Commission, has warned the EU's trade shortfall with China is at a tipping point. Earlier this month, during her State of the Union speech, she said, "Let me be clear: we will use all the tools at our disposal to rebalance our relationship." "Words are good. But deeds are better."

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