G7: Economic coercion of other countries must have consequences
HIROSHIMA (Reuters) – The G7 wants to continue working with China but believes too many risks are being taken with a country that “disrupts the global economy”. Countries want to “invest in our own economic vibrancy”. The leaders said in an earlier statement that they already wanted to act against all countries that use “economic coercion”.
Seven countries, including Japan, Germany, the UK and the US, and the European Union say there will be “increasing disturbance” in economic coercion worldwide. This means that countries sometimes occupy an unavoidable position in certain economic processes and use that power to exert political influence. China is not explicitly mentioned, but is linked to these practices in the second report.
Economic coercion is bad for global trade, reduces the ability of countries to make their own decisions and ultimately undermines “global security and stability”, the G7 believes. “Efforts to weaponize economic dependence” “will fail and will follow.”
To fight economic coercion, the G7 announces a new partnership: the Coordinating Platform on Economic Coercion. It should exchange information, support countries under pressure and ensure joint action is taken.
According to European Commission President Ursula van der Leyen, economic cooperation is a “win-win cooperation”. He says the West can be a good alternative to China and Russia.
New Silk Road
Van der Leyen cites as an example the New Silk Road, through which China hopes to boost trade between Asia and Africa. For many countries, this seemed like a “good, cheap offer”, but in practice it was disappointing.
China said it strongly opposes the G7 statements and has lodged a complaint with host country Japan. China’s Foreign Ministry has said that the G7 countries are interfering in China’s internal affairs. Chinese anger is not only about allegations of economic coercion, but also criticisms of China’s claim to Taiwan and its handling of human rights. A spokesman accused the G7 of “defaming and attacking” China.
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