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Ukraine, brandy and EVs top the agenda on Xi’s charm offensive

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President Xi Jinping and his wife, Peng Liyuan, arrived in France on Sunday for a state visit (BBC)

President Xi Jinping has hailed “new vistas” in China’s relationship with France on his first trip to Europe in five years – one that feels much like a charm offensive.

Mr Xi will be looking to avert the trade war that is looming with Brussels, driven by fears of cheap Chinese electric vehicles entering the European market.

The West also accuses China of helping Vladimir Putin wage war in Ukraine by supplying technology and equipment for the Russian military.

Both issues echo Washington’s words of warning to him in recent weeks, but it is not what Mr Xi wants his own people, or indeed those in France, to hear.

Instead, he is trying to win over the French and bolster China’s influence in Europe to counter any narrative coming from the United States.

He will also meet European Commission President Ursula von der Leyen during his visit to France. She has embraced a policy of “de-risking” from China, which includes tougher talk and cutting Europe’s dependence on Chinese imports and tech.

Later this week, he will make stops in Serbia and Hungary, allies of Moscow that have courted Chinese investment.

Mr Xi will spend most of Monday in talks with French President Emmanuel Macron.

Mr Macron will want to press Mr Xi on Beijing’s friendship with Moscow – and how far it is prepared to go to settle the war in Ukraine, especially as President Putin is scheduled to visit Beijing later this month.

The two will also discuss French brandy, China’s most imported type of spirit – Beijing is threatening to impose tariffs on it in response to the EU’s investigation into Chinese EVs.

That is an alarming prospect for French brandy makers who said last week that high tariffs would be a blow to the future of the industry.

Beijing is likely to be just as concerned about the results of the EU’s investigation into Chinese subsidies for EVs. Europe is a key market for China’s hugely successful electric car makers.

Getty  French President Emmanuel Macron greets Chinese President Xi Jinping after their meeting at the Elysee Presidential Palace on March 26, 2019 in Paris, France. Xi Jinping is on a state visit to France from March 24 to 26, 2019.

Mr Xi last visited Europe in 2019 (BBC)

So, winning over Mr Macron is key if Beijing is to, as China’s ambassador to France put it, “resist anti-China relations”.

To do that Mr Xi is highlighting the ties that bind Franco-Chinese relations together as the two celebrate 60 years of diplomatic relations.

The Chinese leader wrote an opinion column for the French newspaper Le Figaro and said he was coming to France with three messages: that Beijing was committed to opening up “new vistas” in its relationship with France; opening up “ever wider” to the world and to upholding world peace and stability.

Keeping with Beijing’s message, Chinese state media is also upbeat.

“China and France will light up their way forward with the torch of history, open a brighter future of China-France relations and make new contributions to world peace, stability and development,” said Xinhua.

It also highlighted President Xi’s love of French writers and artists and reported that his book has now been translated into French.

But there was also a word of caution: a Global Times editorial urged Europe to be independent and “especially not controlled by any third party”, a not-so-subtle reference to the US.

To put Paris in his corner, Mr Xi may see an opening with his French counterpart.

Getty  China's President Xi Jinping (R) and Russia's President Vladimir Putin attend the opening ceremony of the third Belt and Road Forum for International Cooperation at the Great Hall of the People in Beijing on October 18, 2023

Beijing’s relationship with Moscow is a major source of contention (BBC)

President Macron has in the past pushed back on following US policies on China. He caused controversy during his trip to Beijing last year by saying Europe should not follow Washington “blindly” on Taiwan.

And while Mr Macron is one of the strongest backers of a raft of trade measures that have angered Beijing in recent weeks, he also wants Chinese companies to build their EV plants in France.

Even so, Mr Macron has proved he will be no pushover. Last week, as he was preparing to roll out the carpet for President Xi’s visit, he met Sikyong Penpa Tsering, the leader of the Tibetan government-in-exile, in Paris.

One of Mr Macron’s key priorities will also be to warn China of the danger of backing Russia in its invasion of Ukraine.

Like the United States, France and most of the EU want Beijing to stop supplying weapons components to Moscow.

“It is in our interest to get China to weigh in on the stability of the international order,” said Mr Macron in an interview with the Economist published on Thursday.

“We must, therefore, work with China to build peace,” he added.

President Xi has so far refused to do anything to stop Russia’s full-scale invasion of Ukraine.

In his Le Figaro opinion column he wrote that China “understands the repercussions of the Ukraine crisis on the people of Europe” and emphasised that Beijing is not “a party to or a participant in it”, adding that “China has been playing a constructive role in striving for peaceful settlement of the crisis”.

Whatever the outcomes of his visit to France, President Xi‘s visits to Hungary and Serbia will prove that China still has allies in the eastern corner of Europe.

(BBC)



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Argentina secures $42bn from IMF, others as it lifts currency controls

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Managing Director of the International Monetary Fund (IMF) Kristalina Georgieva, right, and Argentina's President Javier Milei in Borgo Egnazia, Italy, on June 14, 2024 [File aljazeera]

Argentina has clinched $42bn in medium-term funding from the International Monetary Fund (IMF) and two other financial institutions as it announced it is abandoning most of its tight currency controls.

The IMF’s executive board late on Friday approved a $20bn bailout package that will be doled out over the next four years, with an immediate disbursement of $12bn and another $2bn available after a review planned for June.

The World Bank also announced a $12bn support package for Argentina, and the Inter-American Development Bank (IDB) said it will provide up to $10bn in financing for the public and private sectors. Both are three-year plans.

President  Javier Milei announced on Friday that he will – starting on Monday – lift most of Argentina’s strict capital and currency controls as part of agreements that secured the huge funding deals.

“Today we are breaking the cycle of disillusionment and disenchantment and are beginning to move forward for the first time,” he said on national television while flanked by his ministers. “We have eliminated the exchange rate controls on the Argentine economy for good.”

The capital controls, known in Argentina as “el cepo” or “the clamp”, were imposed by a previous administration in 2019 with the aim of preventing further financial downfall and capital flight that the country has been dealing with for years.

The controls clamped down on individuals’ ability to buy US dollars, giving rise to a black market that is widely used by citizens. They also restricted companies’ access to dollars, discouraging foreign investment that Milei needs.

The Argentinian central bank now aims to allow the peso to trade within a so-called currency band instead of firmly pegging the beleaguered currency to the dollar.

The band ranges from 1,000 to 1,400 pesos per greenback and will expand by 1 percent each month, according to the central bank.

In announcing its latest support package, the IMF said the programme is “expected to catalyse further official financing from multilateral sources” and “seeks to facilitate a timely return to international capital markets”.

“The program supports a path toward entrenching macroeconomic stability, strengthening external sustainability, and laying the foundation for stronger and more resilient growth,” it said, adding that its key pillars include “maintaining a strong fiscal anchor, transitioning towards a more robust monetary and FX regime”.

The organisation praised Argentinian authorities’ new commitment to a zero-deficit budget target, which has delivered the first fiscal surplus in almost two decades.

But to achieve the surplus, Milei has fired tens of thousands of state workers, with his overhauls hitting the population hard, including by raising poverty levels.

[Aljazeera]

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PNB detect large haul of methamphetamine and heroin in local fishing trawler intercepted by Navy

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Acting on credible information, the Sri Lanka Navy launched a special operation on the high seas on 11 Apr 25, resulting in the apprehension of  06 suspects along with a local multi-day fishing trawler, believed to be involved in smuggling of narcotics.

Subsequently, the intercepted trawler was brought to the Dikkowita Harbour, where a thorough inspection was carried out with the assistance of the Police Narcotic Bureau (PNB) experts, leading to the detection of  approximately 77kg and 484g of heroin and 42kg and 334g of methamphetamine (Ice).

The consignment, which had been meticulously hidden in the trawler, was handed over to the PNB for onward legal action on 12 Apr.

 

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Sun directly overhead Thunukkai, Olumadu, Oddusudan, Kumulamunei and Chemmalei at about 12:11 noon. today [13]

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On the apparent northward relative motion of the sun, it is going to be directly over the latitudes of Sri Lanka during 05th to 14th of April in this year.

The nearest areas of Sri Lanka over which the sun is overhead today (13th) are Thunukkai, Olumadu, Oddusudan, Kumulamunei and  Chemmalei at about 12:11 noon.

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