On Tuesday night, Chinese Premier Li Keqiang met with Klaus Schwab (shown) for the World Economic Forum. (Photo : Reuters)
China is set on forging even stronger relations with Europe. Premiere Li Keqiang is determined to have closer economic ties with the fragile European economy so that uncertainties surrounding the continent could be lessened.
Li visited Switzerland on Tuesday to take part in the annual meeting of the World Economic Forum. This is the first overseas trip for a Chinese leader in 2015. The forum will host 2,500 delegates, and the Chinese leader will deliver a keynote speech with these delegates present. On Tuesday evening, Li met with forum president Klaus Schwab.
Li is expected to talk about China's economic situation and its current policies regarding comprehensive reform and liberalization. As the leader of the world's second largest economy, majority of the delegates are closely monitoring what Li would say and present them. The country contributed a mean feat of 27.8 percent to global GDP last year.
Many also view Li's visit as a sign that China is interested in fostering closer economic links with Europe. Closer ties between the two could remove economic and political uncertainties surrounding the continent, especially in the long term.
When the dynamics of the two economies change, a depreciation of the euro might be observed. However, it would not be long before the closer links benefit both Europe and China. Small and private businesses in the EU can benefit from relaxed credit lines, for one. Chinese businesses, on the other hand, can expect an increase in their orders from EU countries.
According to Philip Koch, the deputy director of the International Department of the Hamburg Chamber of Commerce, China and EU can complement each other in many economical aspects.
"In areas like urbanization, renewable energies and healthcare, Hamburg companies, as market leaders, can offer innovative concepts and solutions to China on its path toward further modernization. On the other hand, Europe can benefit from Chinese IT and telecommunication technology, as well as from innovative sectors such as e-mobility," Koch said.
