Magazine
18:24 18 November 2019
Post by: Warsaw Business Journal

East meets West

WBJ talked to LiuGuangyuan, China’s Ambassador to Poland, about the economic turbulence caused by the US-China trade conflict, about the “Belt and Road” infrastructure, the 5G cooperation between Poland and the US and the economic and political system in China INTERVIEW BY EWA BONIECKA

East meets West

WBJ: There have been concerns recently about whether Chinese-Polish relations will face turbulence given the tensions in world policy and the economic conflict between the world’s two great powers: China and the US. Do you think there is a cause for concern?

Ambassador LiuGuangyuan: I have noticed that there are some such concerns in Polish society. Even some American politicians have suggested that other countries should choose to stand side by side between the US and China. This is obviously outdated and irresponsible, not only against the trend of a win-win era characterized by peace, development, and cooperation but also not in line with the fundamental interests of all countries.

Since the establishment of diplomatic ties between China and Poland 70 years ago, bilateral relations have maintained good momentum. The friendly cooperative relationship between China and Poland is based on mutual respect, equality and mutual benefit. It does not target any third party, nor should it be influenced by third parties. It does not need to look at other countries. The China-Poland relationship can run parallel with Poland-US and China-US relationships.

This year marks the 40th anniversary of the establishment of diplomatic relations between China and the US. Forty years of historical experience tells us that as the world’s two largest economies, China and the US have formed a blend of interests of “you have me, I have you.” Both will benefit from a harmonious relationship or be injured by the conflict. A healthy and stable China-US relationship is not only in the interests of those two countries, but also the common good of the international community.


Polish Prime Minister Mateusz Morawiecki and US Vice President Mike Pence signed the 5G network cooperation during Pence’s visit to Poland. There is talk that it may result in the introduction of an embargo on Chinese network Huawei. What will China say if it comes to that?

Regarding the joint statement you mentioned, I would like to reiterate some points here. First, the Polish side has repeatedly emphasized that the statement is never targeted at any particular country or specific enterprise. The Polish leaders also made it clear that they will maintain a fair and open telecommunications market and will not adopt exclusionary policies for specific countries and enterprises. I believe that the Polish side will abide by its commitments. This is the attitude that independent countries should have, and it is in Poland’s best interests.

Second, the US is suppressing Chinese enterprises on the groundless charge of “security concerns.” This is in line with its waging global tariff wars and stirring economic and trade frictions. Its essence is still conducting unilateralism and protectionism in the field of science and technology. The fundamental purpose is to maintain US hegemony, which is firmly opposed by China. US Vice President Pence visited four European countries and spread rumors about Chinese companies everywhere, but he was embarrassed without gaining any support, which once again proved that a just cause enjoys abundant support and an unjust cause finds scant support. I hope that Poland will not be tempted and exploited by the US on this issue.

Third, 5G is one of the most representative technologies of the fourth scientific and technological revolution. It is the common innovation of the international community and will bring important development opportunities for countries around the world, including China and Poland. Human science and technology advancement requires open cooperation. Technical security issues should be solved through technical means. Politicizing technical issues, engaging in small circles and even adopting discriminatory practices are very narrow-minded behaviors. I believe that Polish politicians have sufficient strategic vision to make an independent and correct choice.

Liu Guangyuan, China’s Ambassador to Poland

China and Poland are partners in building the “Belt and Road” infrastructure linking China with other countries in Asia, Africa, and Europe that will contribute to the exchange of products and also help the development of Poland. How is the work on the route progressing?

In the past six years, the Belt and Road Initiative has become the world’s most popular public product and the largest cooperation platform. As many as 136 countries and 30 international organizations have signed 195 intergovernmental cooperation agreements with China under the framework of the Belt and Road Initiative. China’s total investment to the countries along the Belt and Road has exceeded $100 billion, and the investment of these countries in China has reached $48 billion. It can be said that from an initiative to consensus, from plan to action, the Belt and Road has been an important boost for the world economy.

Poland is an important node country along the Belt and Road and one of the first European countries to sign relevant cooperation documents with China. We are pleased to see that the cooperation between the two countries under the framework of the Belt and Road has gradually blossomed. In recent years, Chinese companies’ investment in Poland has developed rapidly. As a result, cumulative direct and indirect investment from China has exceeded $3 billion; 90 percent of China Railway Express trains have passed through or arrived in Poland; the port of Gdańsk is the distribution center of COSCO Shipping in the Baltic Sea, nearly 20,000 TEUs of freighters travel between Poland and the Far East every week; and LOT Airlines has direct flights to China.


We import quite a lot from China, while Polish exports to China are relatively small. How could that change?

First of all, we must objectively and comprehensively look at the current state of China-Poland trade. In the context of current economic globalization, the industrial chain, supply chain, and value chain have crossed national borders and form a global layout, and trade between countries is mutually beneficial. By participating in the global industrial division of labor, China and Poland have realized the convergence of supply chains and the value chain, bringing benefits to both sides. Poland imported high-quality raw materials, semi-finished products and spare parts from China and processed them for export, forming a trade surplus with Germany, the UK, and other countries. Poland has added value between the product’s entry and exit, earned revenue, and consolidated its role as Europe’s processing and manufacturing center. After the goods exported by Poland were processed by third countries, a considerable part of them were re-exported to China, but this part is not reflected in the Polish export data to China.

Secondly, we must have a clear understanding of the causes of the China-Poland trade deficit. In addition to the differences in economic scale and industrial structure between the two countries, there are some specific reasons that should be analyzed. For example, 80 percent of enterprises in Poland are small and medium-sized companies. They are undoubtedly unable to rely on their own strength to open up the Chinese market. They need more support and help from the Polish government and industry associations. We also know that Poland’s traditional export market is Western Europe. To allow exporters to adjust their established channels and turn to the Chinese market in a short period of time, they will also face certain internal and economic resistance.

It is hoped that the Polish government and industry organizations will play a more active role as a bridge connecting Chinese consumers and Polish products.


The Chinese political system and internal structure which you describe as “socialism with Chinese characteristics,” are based on your culture, history, tradition, ambition and responding to your people’s wishes. Do you think that your system has proven to be the best for modern China and its further development?

The world is rich and colorful, and development models are diverse. There are differences in national conditions in different countries, and there is no uniform standard in national systems. China has always insisted that all countries are equal, no matter whether they are big or small, strong or weak, rich or poor. And we respect the right of the people of all countries to choose their own development path. We recognize differences in cultural traditions, social systems, values, and development concepts, and we strive to promote the common development of different civilizations.

No matter what doctrine, system, model, or path, a development model must be tested by the times and practices. In modern times, in China, it was difficult to explore and experiment on the road of seeking development and revitalization, and it finally found a development path suited to its own national conditions, that is the road of socialism with Chinese characteristics. After 70 years of historical inspection, this road has proved to be completely correct, and it has received unanimous and firm support from the Chinese people.




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