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Europe in an Era of US-China Strategic Rivalry

Challenges and Opportunities from an Outside-in Perspective

Editor: Sebastian Biba

Publisher: Springer Nature Switzerland

Book Series : Global Power Shift

Part of: Springer Professional "Business + Economics & Engineering + Technology" , Springer Professional "Engineering + Technology" , Springer Professional "Business + Economics"

Table of Contents

About this book

This volume examines some of the major challenges and opportunities for Europe in the light of the intensifying US-China global strategic rivalry. In doing so, the book investigates European roles and behavior in the contemporary US-China-Europe triangular relationship.

While the book's focus is on Europe, the contributors originate from, or are based in, the US and China, thus presenting a unique outside-in perspective to the analysis of European conduct in the areas of security, geo-politics, geo-economics, global governance, development, and climate change. Each area is investigated by one American and one Chinese scholar, respectively, presenting the different views held on Europe’s behavior and positioning in the US and China. In addition to providing critical assessments of Europe’s roles and performance as seen through the prism of their respective country, contributors also pose concrete policy recommendations for Europe.

The book will appeal to students, scholars, and researchers of political science and international relations, as well as policy-makers interested in a better understanding of Europe's role in the US-China rivalry and its relationship to the two countries.

Frontmatter

Chapter 1. Introduction

Abstract

This chapter presents an introduction to the edited volume. The chapter starts by briefly outlining the ongoing downward trajectory in US-China relations before elaborating, in broad-brush terms, on how Europeans have sought to respond to the challenges raised by the intensifying US-China strategic competition. It states that Europeans have moved closer to the USA, while they remain somewhat divided over their future China course. The chapter then introduces the major contribution this book aims to make, which is the provision, across various issue areas, of contrasting American and Chinese outside-in perspectives on how Europeans should position themselves in the US-China rivalry. The chapter finally goes through the structure of the book, highlighting some of each chapter’s policy recommendations for Europe.

Sebastian Biba

Russia and the Ukraine War

Frontmatter

Chapter 2. The War in Ukraine and Its Impact on the US Perspective of Europe

Abstract

This chapter examines the US perspective of Europe against the background of the conflict between Ukraine and Russia, as well as the growing role of a ‘Russia-friendly’ China in forming Europe’s ‘strategic autonomy’ dilemma, which largely determines the parameters of transatlantic relations. Despite the high degree of strategic reconciliation between the USA and Europe due to the war in Ukraine, America’s strategy toward the EU and its specific relations with the major actors in Europe have now become more nuanced considering not only the Russian factor but also the influence of China. China’s ‘pro-Russian neutrality’ has also significantly complicated Europe’s strategic choice vis-à-vis the USA and China. It has also set new conditions for the European vector of American policy.

Vitaly Kozyrev

Chapter 3. Russia and the War in Ukraine: The Chinese Perspective on Europe’s Role

Abstract

The Chinese government has adopted a neutral stance in the Russia-Ukraine crisis, supporting political settlements to the conflict. Despite the war in Ukraine, the tensions between the USA and China remain unchanged, with the USA strengthening its Western alliances to deter China from supporting Russia. China maintains its balancing position with many developing countries, even though Russia seeks to draw China into its coalition. Since the start of the conflict, Europe has shifted its stance toward Russia, transitioning from conducting diplomatic mediation to providing military assistance to Ukraine. It is against this backdrop that this chapter argues that Europe should reconsider the construction of a pan-European security order and develop institutional arrangements that involve Russia. Additionally, Europe should exhibit strategic autonomy by mediating the Russia-Ukraine conflict, as France and Germany did 9 years ago when they established the diplomatic platform of the ‘Normandy Format’.

Chen Zhao

Security and Geo-politics in the Asia-/Indo-Pacific

Frontmatter

Chapter 4. Europe’s Contribution to the Asian Balance of Power: Player or Observer?

Abstract

The US-China power transition in East Asia has led the United States to look for coalition partners to assist in its effort to balance the rise of China. The ‘Quad’ reflects this effort, as the United States has strengthened security ties with India, Australia and Japan. The United States has also looked to its European allies to contribute to its resistance to China’s challenge to the East Asian security order. But given the European countries’ limited capabilities and the difficulties they face in contending with security challenges in Europe, including the long-term Russian challenge to European stability, they cannot make a meaningful contribution to US security in East Asia. America’s European allies would thus do best by focusing their full attention on European security affairs. A Europe-US division of labor would be good for Europe, the United States, and NATO.

Robert S. Ross

Chapter 5. US-China Strategic Rivalry in the Indo-Pacific Region: The Security Dimension and the EU’s Role

Abstract

Europe’s growing engagement in the Indo-Pacific represents its response to the region’s growing geostrategic tensions by exercising its normative power to mitigate conflicts and shape the security environment. At the same time, with greater military presence, partnerships and participation in regional diplomacy, Europe seeks both to work closely with the USA on issues where they share common interests and to strengthen its strategic autonomy. Beijing watches European involvement in Indo-Pacific affairs as some of its actions, from exercising freedom of navigation patrols in the South China Sea, forming or reinforcing security partnerships with like-minded powers in the region and participating in joint military exercises, either encouraged by or in alignment with Washington, raise serious concerns for China and could affect long-term Europe-China relations. At the same time, Chinese analysts also point to divergences in transatlantic approaches to the Indo-Pacific and Europe’s inherent limitation in projecting and sustaining hard power at a time when its security is under serious threat as a result of the Russian invasion of Ukraine.

Jingdong Yuan

Geo-economics

Frontmatter

Chapter 6. Europe and the USA’s Global Economic Rivalry with China: The Problem Is Less the Ends than the Means

Abstract

This chapter investigates the United States (US)’s global economic rivalry with China and the potential for Europe to cooperate with Washington. Investigating US interests and tactics from US President George Bush Jr.’s tenure in office onward and European interests and tactics over a similar period, it finds notable convergences in these interests and, to a lesser extent, tactics with the exception of the Donald Trump era which witnessed huge divergences with respect to tactics. Taking this history into account, analyzing President Joseph Biden administration’s desiderata for Europe, and Europe’s hardening stance on various China-related economic issues, it takes the position that there are considerable opportunities for Europe to collaborate with the US on its geo-economic friction with China despite the existence of significant obstacles.

Jean-Marc F. Blanchard

Chapter 7. Geo-economic Considerations: The Chinese Perspective on Europe

Abstract

Since 2017, the USA has implemented a policy of strategic competition targeted at China to maintain its hegemonic position. It has also seized the opportunity provided by the Ukraine war to reshape the relationship between the EU and China. The EU’s choice on its China policy will have profound implications for the global political and economic landscape, including the geo-economic relationship between China, the United States and Europe. This study recommends that the EU should insist on maintaining strategic autonomy, rather than picking sides. It should focus on fair trade and opening up Chinese markets. At the same time, it needs to handle its differences and competition with China in a reasonable manner. By these measures, the EU could likely maximize its interests in the US-China competition, while also contributing to international strategic stability.

Yong Wang

Global Governance on Trade and Finance

Frontmatter

Chapter 8. Global Financial Governance: A US Perspective on Europe

Abstract

This chapter analyzes how the US-China rivalry has played out in the field of global financial governance over the past two decades. It introduces a distinction between the traditional world of intergovernmental organizations such as the International Monetary Fund (IMF) and the new world of government networks, such as the Financial Stability Board (FSB) and the Network for Greening the Financial System (NGFS). The chapter recounts the IMF dispute over China as a currency manipulator, and it traces the evolution of an FSB dispute between China and Western regulators over how to measure shadow banking. The chapter then turns to areas of quiet and growing cooperation between China and Europe in the realm of green finance, highlighting convergence in what counts as sustainable economic activity (green taxonomy) and what counts as a green bond. It concludes with policy recommendation for European policymakers.

Peter Knaack

Chapter 9. Global Governance of Trade and Finance: The Chinese Perspective on Europe

Abstract

The authors provide suggestions for Europe on how to participate in global governance in an era of US-China strategic rivalry. This chapter specifically focuses on China-Europe cooperation in the realms of global trade governance and global financial governance. The chapter emphasizes China-Europe common interest in WTO reform, including the Appellate Body selection process, negotiations in e-commerce and new subsidy rules. For global financial governance, the authors suggest that China and Europe should cooperate on the reform of global financial institutions and mechanisms. For instance, Europe should get more involved in some new financial institutions, such as the Asian Infrastructure Investment Bank and the New Development Bank, and take more responsibility for international financial institutions.

Zhen Yu, Ning Qin

Development and Aid in Africa

Frontmatter

Chapter 10. Development and Aid in Africa in Light of the US-China Rivalry: The US Perspective on Europe

Abstract

This chapter examines the US perspective on Chinese and European development cooperation and aid in Africa in light of the unfolding US-China great power rivalry. It reflects on the debates among US elites regarding China’s engagement on the continent and explores the initiatives the USA has taken in response to China’s increasing presence in Africa since the launch of the BRI. The chapter then turns to US assessments of European development cooperation with Africa and examines US expectations for transatlantic cooperation. It is argued that the USA views Europe as an essential ally in its strategic competition with China in Africa, sharing core values and approaches, despite differences in detailed assessments of China’s presence in Africa.

Marina Rudyak

Chapter 11. Development and Aid in Africa: The Chinese Perspective on Europe

Abstract

Development aid is a major means for major powers to conduct geopolitical competition and realize strategic interests. This chapter introduces the recent trends in China’s development cooperation, discusses how the USA is competing with China in Africa through development aid, and defines and critically assesses the role Europeans have recently played in this area. It argues that while fundamental differences in Chinese and European approaches to development make large-scale collaboration between the two are unlikely, EU and China do share some common interests in African development. It recommends that EU should acknowledge that the monopoly on development pathway has been broken, see China in Africa as an opportunity and identify and encourage constructive Chinese responses to international and local concerns, among others.

Taidong Zhou

Climate Change

Frontmatter

Chapter 12. Jockeying for Climate Leadership Amidst Rising Global Tensions: China, USA and the European Union

Abstract

Climate change is not only a scientific and environmental issue. There will be economic and political winners and losers tied to climate change mitigation efforts. These realities are putting climate change increasingly front and center on the political agendas of the world’s largest greenhouse gas emitters—China, the United States and the European Union—as they simultaneously seek solutions to a common challenge while jockeying for power and influence in the economy of the future. Addressing climate change will require an end to the era of fossil fuels and a huge expansion in renewable energies and clean and energy-efficient technologies as well as a move to circular economies and a new and sustainable approach to production, consumption and waste management. Which companies, industries, and states will ‘win’ in this transition will affect geopolitics for decades to come.

Miranda A. Schreurs

Chapter 13. US-China Climate Relations and the Role of the EU: A Chinese Perspective

Abstract

This chapter provides a comprehensive analysis of climate relations between China and the USA, against the backdrop of the increasingly urgent issue of climate change and a deteriorating international political climate. Focusing both on cooperation and competition between China and the USA in global climate governance since 2021, the chapter also draws attention to the evolving role of the EU in global climate governance and its convergences and divergences with China and the USA on climate governance. The chapter concludes by suggesting that the EU should strive to balance its concerns regarding climate, energy and the economy at different levels in order to assert its leadership and strengthen its climate cooperation with China across various domains.

Yan Bo

Chapter 14. Conclusion: Europe as a Moderating Force in the US-China Strategic Competition

Abstract

This chapter concludes the edited volume. In doing so, it first summarizes the major arguments, findings and recommendations of the previous 12 analytical chapters. It particularly highlights the fact that both US(-based) and Chinese contributors see Europeans as partners to their own countries. In a second step, and based on the partnership argument, the chapter looks into some key implications for Europe. The case is made for Europe to act as a moderating force in the US-China strategic competition, seeking to leverage its weight in Washington and Beijing for stabilizing the latter’s bilateral relationship and hence preserving peace.

Sebastian Biba

Title: Europe in an Era of US-China Strategic Rivalry
Editor: Sebastian Biba
Publisher: Springer Nature Switzerland
Electronic ISBN: 978-3-031-48117-8
Print ISBN: 978-3-031-48116-1
DOI: https://doi.org/10.1007/978-3-031-48117-8