After meeting with Chinese Vice Premier Li Keqiang during his China trip, U.S. Senator John Kerry sees China to play a “positive and constructive” role in the global fight against climate change. The results of Senator Kerry’s trip sparked hope that China and the U.S.–the two largest emitter of greenhouse gases–are generally willing to cooperate and could resolve their differences ahead of upcoming negotiations on emissions reductions. Xie Zhenhua, the Chinese president’s special envoy for climate change underscored China’s commitment to fight climate change in an article in the South China Morning Post, saying that China views global warming as more serious than the financial crisis. In its original statement China–together with other developing countries–recently called for industrialized countries to cut their emissions by at least 40 percent from 1990 levels by 2020. The various statements following Senator Kerry’s China trip are signs that there may be mutual understanding for more realistic emissions targets.
Joerg Wuttke, president of the European Union Chamber of Commerce in China, has accused Beijing of protectionism in its stimulus measures. According to Mr. Wuttke, foreign companies were deliberately locked out of the contracts for new projects financed by the stimulus package. By setting the bidding criteria for new wind energy projects in a way that made it difficult for foreign suppliers to win, China is said to give domestic companies an edge over their foreign competitors. None of the world’s leading wind turbine makers–including Vestas, Gamesa, Suzlon and GE–made it into the second round of bidding.
China’s State Council has vowed to increase the support for the country’s struggling export sector. The support policies announced at an executive meeting presided over by Premier Wen Jiabao include expanded export credit insurance, tax breaks and improved financing opportunities. China’s trading companies and exporters are among the ones worst hit by the slump in global demand, most notably in the U.S. and EU. Previous support measures included financing guarantees and higher tax rebate rates for exporters.
