West Meets East
Europe is courting China for its vast market — and because an East-West partnership might constrain U.S. power
Going East
European firms are rushing to cash in on the trade boom with China
Europe And India
The capital of cost cutting
Tourism
Welcome to Paris
Arts
A London exhibition explores the West's centuries-old fascination with the Orient
Backstreet Beijing
Get to the Chinese capital's old alleys, or hutongs, before the developers do

Shanghai: New world capital TIME Asia.[ 9/27/04 ]

E-mail your letter to the editor

CHIEN-MIN CHUNG for TIME
HOT WHEELS: To mark Ferrari’s 10th anniversary in China, a caravan of luxury cars gathers in Beijing's Tiananmen Square

West Meets East
Europe is scrambling to cash in on China's amazing boom — and forge a political alliance that can boost its global fortunes. Will it work? A close look at an affair to remember
print article email TIMEeurope Subscribe

Posted Sunday, October 10, 2004; 12.57 BST
It is one thing to travel hopefully to Asia; it is another to arrive there. As Jacques Chirac, the President of France, landed in Chengdu, China, last Friday night on a much-ballyhooed visit to promote trade, trade and more trade, he would have been wise to reflect on the fate of St. Francis Xavier, a brilliant teacher at the University of Paris who became a Jesuit missionary in the East. St. Francis died in 1552 on an island in the South China Sea, without ever achieving his ambition of preaching the gospel in China. Part of his arm now lies in a former seminary in Macao, a city that was once at the center of a Portuguese commercial system that stretched from India to Japan, and whose traders epitomized a long-held European belief that Asian markets were a source of unparalleled prosperity. In 19th century Manchester, cotton barons used to dream of the riches that would come their way if every Chinese shirt was an inch longer.

The successors of those optimists are still at it. "What a prospect: If you could sell 1.3 billion toothbrushes in the China market!" gushed Jacques Gravereau, president of the HEC Eurasia Institute in Paris, while attending the Asia-Europe meeting in Hanoi last week along with Chirac, German Chancellor Gerhard Schröder, Chinese Premier Wen Jiabao and other dignitaries. But in the past, many of Europe's Asian dreams have dissolved into sepia-tinted memories. The treaty ports along the China coast — enclaves of Europe wrested from the Chinese dynastic rulers in their waning days — are no more. The European imperial order in Asia collapsed under the onslaught of Japanese military power in World War II and national liberation movements after it. Batavia became Jakarta; Rue Catinat in Saigon became Dong Khoi in Ho Chi Minh City. And for more than 150 years, Europeans have had competition for influence in Asia. It was the black ships of the U.S. Navy that entered Tokyo Bay in 1853 and forced Japan to open up to world trade, and Richard Nixon whose visit to China in 1972 ended Beijing's political isolation. American missionaries tramped through China, American officers and diplomats shaped Japan's political and economic system after 1945. In both Japan and China today, there are twice as many American residents as there are French, Germans and British combined.

Nevertheless, there's a new swing to Europe's long dance with Asia — and it takes its beat from the astonishing rise of China in global politics and economics. Bilateral trade between the European Union and China more than doubled between 1999 and 2003. European brands, from handbags to luxury cars, are increasingly coveted by China's growing middle class, while many of the country's technology needs are now supplied by European firms. Most importantly, China's leadership sees value in establishing a strategic relationship with the E.U. Jiang Zemin, who led the Chinese Communist Party from 1989 to 2002, regarded the establishment of stable relations with the U.S as essential. But Hu Jintao, who replaced Jiang as Communist Party chief in 2002, began courting Europe almost immediately after taking power. Since Hu took over, members of the Standing Committee of the Politburo of China's Communist Party — the true leaders of the country — have made a combined seven trips to countries that are now E.U. members, but just one to the U.S. Wen made a special point of being the first non-European leader to visit Brussels after the E.U. expanded from 15 members to 25 earlier this year. His trip, said Xinhua, the state-run news agency, was the start of a new "honeymoon relationship" between Europe and China. To some extent, that is because an old romance has cooled. Chinese officials complain bitterly of how hard it is to travel to the U.S., now that America's border controls have been tightened after Sept. 11, 2001, while Chinese students, for the same reason, are looking to study in European universities rather than U.S. ones. So close are ties becoming that David Shambaugh, director of the China Policy Program at George Washington University in Washington, calls the China-E.U. relationship "a new axis in world affairs."

1 | 2 | Next




Table of Contents
Subscribe to TIME

ADVERTISEMENT

On New Year's Eve, the Miseries of Minsk
As Russia hikes up the cost of gas for Belarus, the mood turns gloomy
Mogadishu at 60 Miles an Hour
Arms merchants are once again doing brisk business after a rapid change of power in this tough town, but so far the peace has held
The Year of The Nuke
A rundown of the world's nuclear powerhouses, and what to expect in the coming months


QUICK LINKS: West Meets East | Going East | Capital of Cost-cutting | Welcome to Paris | The Art of Trade | Back to TIMEeurope.com Home
FROM THE OCTOBER 18, 2004 ISSUE OF TIME MAGAZINE; POSTED SUNDAY, OCTOBER 10, 2004.

© 2004 Time Inc. All rights reserved.
Reproduction in whole or in part without permission is prohibited.
Subscribe | Customer Service | Search | Contact Us | Privacy PolicyPrivacy Policy | Terms of Use | Media Kit | Press Releases
Try AOL UK for 1 month FREE | Try FOUR free issues of TIME
TIME Global Adviser | TIME Next | Chechnya in TIME
EDITIONS: TIME.com | TIME Asia | TIME Canada | TIME Europe | TIME Pacific | TIME For Kids