“We don’t want to see the collapse of the eurozone, it would be a disaster for everyone. We want to see a very quick recovery of the eurozone. China is a very firm believer in the euro, in European integration,” Hua Chunying, a foreign ministry counsellor dealing with EU affairs told this website on the margins of the Understanding China policy summit.
China has invested in bonds of the troubled southern euro-countries already. “But the major problem with the EU is not the money, it’s the confidence,” she explained.
This lack of confidence is “natural” given the diversity between north and south, poor and rich countries, Hua said, adding: “But I do believe once everybody realises it’s a problem of life and death of the euro, then they may take very rapid measures.”
A ‘core’ or northern eurozone splintering off with a stronger currency is not viable, in the Chinese official’s view. “They can only go as one area. It’s not a matter of choice, it’s a strategical asset. Europe for a long period in history used to be the pillar and source of stability and we hope it will continue to be so,” she stressed.
Meanwhile, Wang Yiming, a Chinese official from the National Development and Reform Commission, spelled out that instead of asking for money, Europe should provide market access to Chinese companies.
Lord Leon Brittan, a former EU commissioner and currently vice chair of UBS Investment Bank, also warned against the EU asking for Chinese financial assistance, but for different reasons.
“It would be a great mistake to ask for Chinese assistance in this crisis, because if you ask for money, there are always political conditions attached,” he said.