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French President Jacques Chirac carted off nearly $4 billion in business deals with China -- and a bilateral pledge to strengthen Sino-French ties -- as a result of the Oct. 9-10 Asia-Europe Meeting (ASEM) in Hanoi, Vietnam. With strong economic and political benefits to be had, cooperation between France and China is on the rise.
Although a Paris-Beijing pairing seems unusual at first glance, upon closer examination it is not that farfetched. Economically, France can offer technology and energy expertise, which China's fast-growing economy badly needs. Both countries are interested in accruing power, especially within the United Nations, and both want to contain U.S. influence abroad. The two countries can back each other in the international political arena as well as provide the other with regional influence.
In addition to Year of the Monkey, China designated 2004 as the "Year of France," while France ended a nine-month "Chinese Culture Year" in July. The ties between the countries are set to become much more than just a cultural exchange, with plans to boost cooperation and trade in a variety of areas. Chinese President Hu Jintao made a state visit to France in January, and French President Jacques Chirac paid his third visit to China as president following the ASEM meeting.
Though having France on its side in the international political arena could prove helpful, the primary benefit for China in this developing relationship is economic. What France has for sale, China wants to buy. Although France was nowhere near one of China's major trading partners, trade between the two countries was up 61 percent in 2003, to $13.4 billion, making France China's fourth largest trading partner inside the European Union.
Via the European Aeronautic and Defense Space Co. (EADS), French companies offer modern aerospace and military technology. EADS owns most of the Airbus aircraft and Eurocopter companies and sells fighter jets, missile technology, and radar systems. France and the rest of EADS have been essentially banned from selling these items to the Chinese under the European Union's 1989 arms embargo imposed after the Tiananmen Square massacre. China, as the world's largest arms purchaser, has sought to diversify its suppliers and modernize its military. Beijing would badly like to reduce its dependence on Russian weapons and buy superior-quality arms from Europe, as well as items that Russia will not sell to it (including long-range bombers and tanks).
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