President Xi says promoting growth is a shared responsibility

05 Jul 2023

President of China Xi Jinping said on Tuesday that Beijing opposes “decoupling and breaking links,” according to a statement by Chinese state media.

Xi added promoting economic growth is the shared responsibility of countries in the region in a report of his comments at a virtual summit of the Shanghai Cooperation Organization (SCO).

Members of the SCO political, trade and security alliance include China, India, Russia, Kazakhstan, Kyrgyzstan, Pakistan, Iran, Tajikistan and Uzbekistan. There are also so-called “observer states” within the group, along with “dialogue partners”, which Saudi Arabia was promoted to back in March, CNBC reports.

According to the state media report of President Xi’s statements, China is willing to work with all parties to implement the Global Development Initiative, so the “cake” is bigger to allow those in different countries to benefit.

The Global Development Initiative was proposed to the United Nations by Xi in 2021, claiming to include efforts to support UN sustainable development goals.

The report also says China is opposed to unilateral sanctions, protectionism and generalising national security concepts.

President Xi’s statements are a precursor to US Treasury Secretary Janet Yellen’s visit to China from Thursday to Sunday, following on from Secretary of State Antony Blinken’s visit to Beijing in June.

deVere CEO and founder Nigel Green said earlier this week: “Yellen’s trip to Beijing this week is important to global markets for two main reasons.

“First, she is the top US economic policymaker, meaning that the US government appears serious about rebuilding economic ties between the world’s two largest economies.”

He added: “Second – and perhaps more importantly – it shows a commitment to globalisation.

“Investors are looking for global leaders to dismiss the prevailing protectionist narrative of the last few years as many countries have looked increasingly inwards, becoming more and more nationalistic.”

Tensions have mounted between the US and China over the past few years, and recent measures by both nations have been focused on technology.

On Monday, China’s Ministry of Commerce said it is limiting the exports of two metals utilised for the manufacturing of semiconductors.

Whereas back in October, the US unveiled export controls aimed at restricting China’s development of advanced semiconductors, the CNBC report adds.