China This Week: Five things you need to know (May. 3-9, 2025)
One Step Closer to China: A weekly dispatch from Beijing every Friday with insights you don’t want to miss.
Editor's note: This week, we'd like to focus on China's diplomacy. President Xi Jinping's state visit to Russia and attendance at the celebrations marking the 80th anniversary of the Victory in the Great Patriotic War, China-EU ties getting closer as both celebrate the 50th anniversary of diplomatic relations, and upcoming talks between China and the U.S. are under the spotlight. China's financial package to boost the economy and the country's first fundamental law dedicated to the private economy have also caught the eye. Thank you.
1. Chinese President Xi Jinping Pays a State Visit to Russia, Attends Great Patriotic War Victory Celebrations in Moscow
Chinese President Xi Jinping pays a state visit to Russia from May 7 to 10 and attends the celebrations marking the 80th anniversary of the Victory in the Great Patriotic War in Moscow. Xi and Putin hold talks and witness the signature of over 20 bilateral cooperation documents, in which a Joint Statement on Global Strategic Stability (《关于全球战略稳定的联合声明》）, a Joint Declaration on Further Deepening the China-Russia Comprehensive Strategic Partnership of Coordination for the New Era (《关于进一步深化中俄新时代全面战略协作伙伴关系的联合声明》）and a Joint Declaration on Further Strengthening Cooperation to Uphold the Authority of International Law (《关于进一步加强合作维护国际法权威的联合声明》）are worth reading.
H.E. Xi Jinping President of the People’s Republic of China for the Russian Gazette -Chinese Foreign Ministry-
China and Russia accuse US of raising risk of nuclear war and vow to respond to threats jointly -South China Morning Post-
2. China-EU Ties Get Closer As High-level Talks and Positive Signals Delivered on the 50th Anniversary Celebration
China-EU relations get closer amid global turbulence. Chinese President Xi Jinping, President of the European Council Antonio Costa and President of the European Commission Ursula von der Leyen on May 6 exchanged congratulatory messages for the 50th anniversary of China-EU diplomatic ties. Vice President Han Zheng met with former European Council President Charles Michel and representatives of EU envoys to China in Beijing, noting that China and the EU have fully resumed exchange between their legislatures, providing new impetus for bilateral ties. The Chinese and EU missions to each other held a reception and sent positive messages. The Chinese foreign ministry confirmed that Beijing welcomes EU leaders to visit China for a new round of China-EU leaders' meeting at a proper time.
Read more:
MFA: China welcomes European Council president, European Commission president to visit China together at an appropriate time -Global Times-
Chinese, EU leaders agree to deepen ties amid Trump pressure, in anniversary exchanges -South China Morning Post-
3. China, U.S to Hold First Talk in Switzerland Since Washington's Global Tariffs War
It's a talk, not a negotiation. China and the U.S. said that they will hold the first high-level economic and trade meeting in Switzerland. Chinese Vice Premier He Lifeng, as China's lead person for China-U.S. economic and trade affairs, will meet with the U.S. lead person Treasury Secretary Scott Bessent, during his visit to Switzerland from May 9 to 12. The Chinese Commerce Ministry on May 7 said China decides to agree to engage with U.S. for talk with full consideration but will not sacrifice principle to reach deal with U.S.
Chinese embassy reiterates three points after US signals planned trade talks not initiated by Washington -Global Times-
Chinese Foreign Ministry: Upcoming China-US trade talks are arranged at U.S. request -Global Times-
Chinese exports show strong resilience in April despite US tariff war - South China Morning Post-
4. China Launches Broad Financial Package to Boost Economy
China on May 7 announced a broad set of monetary, financial, regulatory and market-oriented policies aimed at stabilizing the market, boosting expectations and shoring up economic momentum. The People's Bank of China (PBOC), the National Financial Regulatory Administration (NFRA), and the China Securities Regulatory Commission (CSRC) are stepping up with coordinated moves including lowered reserve requirement ratio (RRR) , interest rate cuts on personal housing, liquidity injections, expanded refinancing tools, and targeted support for key sectors such as technology, real estate, and small businesses.
Read more:
China unveils new financial measures to boost housing market, small firms, and trade -Yicai-
China unveils policy package to boost economy, reflecting focus on high-quality devt despite external uncertainties -Global Times-
China urges financial sector to boost credit support for small businesses -China Daily-
5. China's First Law on Private Economy to be Effective on May 20
China on May 8 holds a press conference on the Private Economy Promotion Law《民营经济促进法》which is set to take effect on May 20. The law marks a milestone in the country's support for the sector which contributes over 60 percent of GDP. The law, unveiled last October and passed by China's top legislature this April, lays out legal guarantees to ensure fair competition, improve access to financing, encourage innovation, and protect the rights and interests of private businesses.
Read more:
How rule of law is further empowering China's private economy - Chinese Ministry of Justice-
China’s private firms given legal recourse with new law -South China Morning Post-
Stay tuned for more updates on China's political, economic, and cultural landscapes.
Disclaimer: This newsletter is for informational purposes only. All sources are publicly available and subject to change.
Shen Shiwei’s Social Media Links
X: @shen_shiwei Facebook: Shen Shiwei