China’s diplomacy budget grows while trade deal outlook narrows
- A modest increase in spending reverse 2 years of declines for the country’s diplomatic corps
- But references to economic agreements with the US and EU have evaporated in this year’s government work report
Gone is any mention of economic cooperation with the United States and the European Union. Gone, too, is any reference to a trade with Japan and South Korea
But there was some good news for China’s diplomats, with moderate growth earmarked for diplomacy spending.
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China aims for modest 5.5% GDP growth in 2022, citing economic pressures
Delivering his annual work report to national legislators on Saturday, Premier Li Keqiang said the country faced “increasing risks” both at home and abroad.
Unlike the previous three years, he made no mention of trade deals with the US, EU, Japan and South Korea, saying only that “we will work to negotiate and conclude high-standard free trade agreements with more countries and regions”.
Trade talks with the US have also stalled since US President Joe Biden took office. Washington has accused Beijing of not fulfilling a phase one trade deal, and US tariffs on Chinese goods remain in place.
Meanwhile, the latest report has hailed the implementation of the Regional Comprehensive Economic Partnership, the world’s biggest free-trade agreement which came into effect at the start of this year.
