Exploring Areas of Common Interest Between China and Italy
A Breakthrough Visit
From July 27 to 31, Italian Prime Minister Giorgia Meloni embarked on a five-day official visit to China.
This marks Meloni’s first visit to China since she became Italy’s first female Prime Minister in October 2022. It is also the first visit by a European leader to China following the new elections for the European Parliament and the President of the European Commission, as well as the conclusion of the 20th Central Committee’s third plenary session of the Chinese Communist Party.
This visit is particularly significant as it aims to mend the relationship between Italy and China following Italy’s withdrawal from the Belt and Road Initiative (BRI) in 2023, which had caused a downturn in bilateral relations.
In 2019, Italy signed a Memorandum of Understanding on the BRI with China, becoming the only G7 member to join the initiative.
However, Italy chose not to renew this agreement in 2023. Now, both nations are seeking to initiate a new phase of cooperation.
Continue the road of China-Italy exchanges
China and Italy established diplomatic relations on November 6, 1970.
In 2004, they forged a comprehensive strategic partnership.
This year marks the 20th anniversary of this partnership, as well as the 700th anniversary of Marco Polo’s death.
Among the 100 historical figures showcased at the China Millennium Monument in Beijing for their significant impact on Chinese history, Marco Polo is one of only two foreigners.
His “Travels of Marco Polo” sparked the first wave of “China trendr” in the West.
During the opening ceremony of the “Legendary Journey: Marco Polo and the World on the Silk Road” exhibition in Beijing, Meloni remarked that Marco Polo had paved a path of Sino-Italian exchange that has remained unbroken since his time. She stressed that both nations have a responsibility to continue this path, emphasizing cooperation and exchange.
Meloni explained that the “Travels of Marco Polo” described a route from Italy to China, one that was sometimes smooth and sometimes challenging, but always passable. She underscored the need to keep this route open to facilitate ongoing economic and cultural exchanges, which are foundational to their cooperation.
Sending Positive Signals
The most significant outcome of the Sino-Italian leaders’ dialogue was the “Action Plan between the People’s Republic of China and the Italian Republic on Strengthening Comprehensive Strategic Partnership.” This plan outlines deep cooperation between the two countries over the next three years, emphasizing a commitment to the historical spirit of the Silk Road, mutual cooperation, cultural exchange, and elevating bilateral relations to a higher level.
The action plan specifies that China and Italy will continue to advance and deepen high-level dialogues in various fields, including strategic, economic, trade, green development, digital technology, and cultural exchanges. Both nations are committed to open cooperation, jointly addressing global challenges such as climate change, energy transition, public health, security, and international peace and stability.
Discussions between the leaders covered traditional areas of cooperation as well as new emerging fields such as electric vehicles and artificial intelligence. The priority areas for future cooperation include trade, investment, finance, technological innovation, education, green and sustainable development, healthcare, and cultural exchanges.
Exploring Areas of Mutual Benefit
Currently, Italy is China’s fourth-largest trading partner in the EU, while China is Italy’s largest trading partner in Asia. According to Chinese Customs data, in 2023, the bilateral trade volume was $71.758 billion, a 7.2% decrease year-on-year.
China’s exports to Italy totaled $44.523 billion, down 11.8%, while imports from Italy were $27.234 billion, up 1.4%.
In July this year, the European Commission announced temporary anti-subsidy duties of up to 37.6% on electric vehicles imported from China. Italy, known for its robust automotive industry and brands such as Ferrari and Lamborghini, could benefit from cooperation with China, especially given China’s technological advancements in electric vehicles.
This partnership could aid Italy in transforming its traditional automotive industry.
Chinese leaders have expressed their willingness to explore cooperation in emerging fields such as electric vehicles and artificial intelligence, a sentiment echoed by Meloni, who hopes to deepen collaboration in these areas.
Deepening Comprehensive Strategic Partnership
Chinese President Xi Jinping welcomed Italian businesses to invest in China and expressed a willingness to import more high-quality Italian products. He also hoped that Italy would provide a fair, transparent, secure, and non-discriminatory business environment for Chinese enterprises in Italy.
Prime Minister Meloni stated that Italy opposes “decoupling” and protectionism and believes Italy can play a significant role in advancing EU-China relations.
The long-standing friendly exchanges between China and Italy are set to enter a new phase with
Meloni’s visit, which also presents a valuable opportunity to enhance China-EU relations. Both countries are striving to explore and expand areas of mutual interest, creating opportunities for shared benefits.