Page 4 - AsiaElec Week 42 2022

AsiaElec COMMENTARY AsiaElec

EU vows to diversify away from

Chinese dependency, makes

little progress on gas price cap

COMMENTARY LITTLE progress was made on imposing a gas between their two countries on the very eve of
price cap and nothing more than a “roadmap” Russia’s invasion of Ukraine. China has sup-
to dealing with the key energy issue was reached ported Russia since then, but has kept its sup-
during an EU summit to discuss solutions to the port passive, afraid of bringing down sanctions
energy crisis, and the assembled leaders took on itself, as the US and EU combined remain
a confrontational stance on China, which is its largest trade partners worth over $1 trillion
increasingly seen as a Russian ally. a year.
The EU leaders did an about face on a The EU message echoes the US stance, which
long-standing foreign policy stance to China. has become abruptly more confrontational with
Previously China has been regarded as a “stra- China. On October 7 the US National Security
tegic partner” and many countries in the EU, advisor Jake Sullivan outlined harsh export
especially those in Central Europe, have actively controls on high-end technology that one com-
sought Chinese investment into their industries. mentator said will “destroy the Chinese sem-
Von der Leyen struck a different tone in her iconductor business overnight.” US nationals
speech on October 21, highlighting Europe’s and companies working in China were told to
dependencies on Chinese 2. leave the country immediately or have their citi-
She said in light of the confrontation with zenship revoked and face arrest if they returned
Russia those dependencies were a risk and to the US.
that the EU would have to engage in “painful” Sullivan said in remarks rolling out the new
reforms to “diversify” and find suppliers from rules on September 16 that the US will protect
“reliable” countries. its technological lead and ensure that its rivals
Von der Leyen pointed out that Chinese Pres- are cut off from its best technology in a marked
ident Xi Jinping and Russian President Vladimir escalation of tensions between Washington and
Putin had announced a “no limits” friendship Beijing.

P4 www. NEWSBASE .com Week 42 19•October•2022