As the UK’s Labour Shadow Chancellor, Rachel Reeves dismisses the idea of economically disengaging from China, citing its importance as a key trading partner and the need to maintain relationships with the world’s second-largest economy.
Chancellor Rachel Reeves has dismissed the idea of economically disengaging from China, stating it would be ‘very foolish‘ for Britain to have less involvement with Xi Jinping‘s administration. This stance comes as US officials are reportedly attempting to use trade deals and tariff discussions to isolate China.
Xi Jinping was born on June 15, 1953, in Beijing, China.
He rose to prominence as the General Secretary of the Communist Party of China (CPC) and became the President of China in 2013.
Prior to his presidency, he served as Vice President from 2008 to 2013.
Xi Jinping implemented major economic reforms, including the Belt and Road Initiative, a massive infrastructure project aimed at connecting China with other countries.
He also strengthened the CPC's control over Chinese society.
China is the second-largest economy in the world, making engagement a crucial aspect of British economic policy. Reeves emphasized the need to maintain relationships with key trading partners like China, particularly given the current global economic landscape.
Reeves expressed support for fast-fashion company Shein floating on the London Stock Exchange, despite allegations of supply chain and labour abuses. The company was founded in China but is now based in Singapore. Reeves acknowledged the FCA’s strict standards and stated that she was open to Shein being listed.
The government has granted emergency powers to continue operations at the British Steel plant in Scunthorke, owned by the Chinese company Jingye. This move comes after MPs criticized potential links between Jingye and the Chinese government. Reeves stated that Chinese investment would be blocked from sensitive areas of critical national infrastructure.
Reeves will discuss a trade deal with the US on her upcoming trip to Washington next week. The talks aim to reduce tariffs on steel, aluminium, and cars, but pharmaceuticals are not included in the draft deal. Trump has announced plans to impose tariffs on the sector, which could cost British drug companies billions of pounds.
The US-China trade deal, also known as Phase One of a broader agreement, was signed on January 15, 2020.
The pact aims to reduce tensions between the world's two largest economies by increasing Chinese purchases of US goods and services.
Key provisions include: a minimum $200 billion increase in Chinese purchases over two years, protection for intellectual property rights, and improved access for US financial services.
The deal has been criticized for not addressing core issues such as China's state-led economic model and forced technology transfers.
Labour leader Keir Starmer spoke with Donald Trump about the ‘ongoing and productive discussions‘ over a trade deal. Starmer emphasized his commitment to free and open trade, protecting the national interest. The UK’s approach to trade policy remains focused on maintaining economic ties with key partners like China and the US.
Keir Starmer is a British politician and lawyer who has been the Leader of the Opposition since 2020.
He was previously the Director of Public Prosecutions (DPP) from 2008 to 2013, making him one of the most senior law enforcement officials in the UK.
Born on September 2, 1962, in South London, Starmer studied law at Cambridge University and later earned a Ph.D. in European Community Law.
He has been an MP since 2015, representing Holborn and St Pancras constituency.
