Monday, 11 April 2022

Europe, China, India and Vladimir Putin

From Brussels to Beijing and New Delhi, in a time of atrocities

Victor Ângelo

In our part of the world, this was a week of turning for the worse. We are today in a much more delicate and dangerous situation. The atrocities committed in Bucha, on the outskirts of Kyiv, and in other places, shocked those who heard about them and seriously damaged the possibility of a dialogue between the Western countries and the regime of Vladimir Putin. Now, and without uttering the word that everyone fears, we may be in for a decisive confrontation between the two sides.

One of the two will have to give in. It would be a mistake not to think so. And, of course, backing down cannot be on our side. But it would be an even bigger mistake not to act consistently. This means that sanctions need to move to a new level, one that is aimed at decisively undermining the Kremlin's economic and financial capacity. It is essential to move beyond coal and stop importing all kinds of petroleum products. The statistics are clear: in 2021, the EU imported 74 billion euros worth of oil and oil products from Russia, while natural gas imports totalled 16.3 billion. There are those in the EU who oppose such sanctions, saying it would cause an inflationary wave and unbearable hardship for many of our businesses. Credible studies show that all this is manageable, given the sophistication of our economies and the resources that can be mobilized. But even more, it must be understood that achieving peace and safeguarding Europe's future cannot be achieved without some sacrifices in the short term.

It is also essential to isolate Russia further. That was the central issue of European concern at the summit with China last Friday. During the meeting, the message seemed to fall on deaf ears. The Chinese leaders insisted on the excellent cooperation that exists between them and Putin. But in the following days, the public discourse in Beijing evolved. It became more positive toward Europe. If you have money, you have friends, and the Chinese know that the EU has become their biggest trading partner. They cannot afford to lose the European market. Trade between them grew by 27.5% in 2021, despite the difficulties linked to the pandemic, rising shipping costs, disruptions in component circulation chains, and an unfavourable geopolitical climate. Nor can they miss out on investment from Europe. Ursula von der Leyen and Charles Michel have been able to play the investment card. The agreement on this matter, approved in Brussels in late 2020, has been frozen since then, which irritates the Chinese side. A greater distance between China and Russia could advance the thaw.

Besides the trade aspect, China wants a strong EU in the hope that it will be able to untie Europe politically and militarily from the US. This explains why it is constructive in the way it refers to the EU while at the same time following and amplifying Russia's rhetoric with regard to NATO. Regardless of that narrative, the important thing is to make Beijing see that excessive proximity to Putin plays against China's long-term interests. And it is not just economic interests, however important the raw materials extracted from Russia's vast territory may be. The deterioration of the Russian dictator's international image cannot be ignored by a country that aspires to be seen as one of the poles of the new global order and a beacon of peace.

In the midst of all this, it would be a serious oversight to forget India. Narendra Modi is investing in a close relationship with Russia, to prevent it from falling just to the Chinese side. Rivalry with China and enmity against Pakistan are the two main axes of Indian foreign policy. It therefore does not want to give China any opportunity to benefit from a comparatively more privileged relationship with Russia. In this regard, the EU must not neglect the dialogue with India, which must be frank and in parallel with the dialogue it must maintain with China.

(Automatic translation of the opinion piece I published in the Diário de Notícias, the old and prestigious Lisbon newspaper. Edition dated 8 April 2022)

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