Hello and welcome back to What China Wants.
The British Chancellor of the Exchequer, Rachel Reeves, is flying off to Beijing for a three day visit to drum up interest in a deeper economic relationship. A considerable change in policy than under Rishi Sunak, the trip comes at a time when Ms Reeves is under considerable strain for what her opponents say is the mishandling of the economy, with zero growth since the government came into power and a crash of business confidence. Maybe she can find economic solace in the Far East?
The theory goes that the UK needs China - the world’s second largest economy - to help support its flagging economy. In my latest article for The Spectator, I use the data to challenge this assertion.
My analysis will most likely be to the chagrin of pro-Beijing businesspeople like Sherard Cowper-Coles of HSBC, who was on UK radio recently championing closer Anglo-Chinese ties. But it is important for the British government to note that while the People’s Republic is an important trade partner, it is not a dominant one (the US is by far our largest ). It is also one of our more risky economic bets given the geopolitical situation. We have, I argue, far better places to look around the world.
https://www.spectator.co.uk/article/does-britain-need-china/
I’ll be back soon with a few geopolitical predictions for 2025. Plus, I have another new research paper coming out in the next week or two, showing how connectivity between Europe and Asia is already compromised for the Western Alignment: the 52nd Meridian Challenge. More to follow…
Thanks for reading.
Sam