Latest / UK Column Radio / Europe's Strategic Failure: Why the EU Can't Stand Up to the US on China | Arnaud Bertrand
Transcript
- 0:01Hello and welcome to another episode of the Silk and Steel
- 0:04Podcast. I'm your host, Carl Zah.
- 0:07Today I have a very special guest who will provide us with a
- 0:11very valuable European perspective on the world
- 0:15affairs. I have on the show Arnold
- 0:18Bertrand, who is a prolific writer on Twitter and I believe
- 0:24also now Substack. Yes.
- 0:27And so who who write extensively on China related issues and you
- 0:33know, I think Arnold, you will probably do better justice
- 0:37introducing yourself to my audience.
- 0:39So why don't you give yourself yourself a brief introduction?
- 0:44Sure. So I'm, I'm actually an
- 0:46entrepreneur originally I'm still today.
- 0:49So I, I, I studied business in, in Switzerland, in a, in a city
- 0:55called Lausanne. And then I created a company
- 0:57called Houstrip, which I LED during seven years in Europe.
- 1:03We were based in London and then we sold the company to
- 1:07TripAdvisor in 2015. And that's when we decided to,
- 1:12with my wife to, to move to China because my wife is Chinese
- 1:18and we wanted to have kids. And basically our logic was that
- 1:25to, to educate mixed kids, French, Chinese kids, it was
- 1:31better to do it in China because we wanted them to, to be
- 1:34educated in both cultures. And there are French schools in
- 1:39China, whereas there are no Chinese schools in France.
- 1:42So strangely, it was easier to educate them in both cultures in
- 1:46China than it was in, in, in France.
- 1:50And so we lived in China during eight years.
- 1:54Now we're based in, in Kuala Lumpur, Malaysia for the past
- 1:57two years. But we, we go back to China
- 2:01several times a year and we've created another company called
- 2:05Mianchi, which is in the traditional Chinese medicine
- 2:09space. But as you pointed out, now I
- 2:13also spend a lot of my time writing because I've become, you
- 2:18know, living in China, I've become very interested in, in
- 2:21the country and, you know, just a pure as a hobby basically.
- 2:26I've started writing quite a bit about it.
- 2:31Yeah, I really appreciate your post.
- 2:33As I was telling you earlier, you actually take your time to
- 2:36write these very long posts on Twitter.
- 2:39And you know, I usually I on Twitter, I don't bother if you
- 2:43read people's long posts because I just don't have time for that.
- 2:46But your post is very well written, very articulate and
- 2:50it's on like subject that's to me of great interest, which is
- 2:54on, on China and also China's relationship with the rest of
- 2:59the world. One reason I invite you to my
- 3:02show today is actually I wanted to discuss with you the the, the
- 3:08role of Europe in the time of US China competition, because you
- 3:15know, many people had hoped EU could be another pole in the
- 3:21multi polar world. But for whatever reason that
- 3:24hasn't happened yet. And and you know, and, and, and
- 3:28so far it looks like Europe, EU leaders has been pretty much
- 3:35very happy to play the puppy dogs to to Washington.
- 3:39I mean, as we saw with the current Nesperia case, when
- 3:43Dutch government sees 100% owned Chinese company.
- 3:48So I you, you, you've written extensively about this.
- 3:52But but for my my for the case before my audience, I just like
- 3:57to ask you, why do you think that is?
- 4:02Because there was a time when Europe did have different
- 4:06countries in Europe did try to chart independent path,
- 4:09particularly in France case, you know, during the time of Charles
- 4:13Charles de Gaulle, he actually, you know, pull France out of
- 4:19NATO and, and, and, and, and also try to have a better
- 4:23relationship with the PRC People's Republic of China.
- 4:27What, and even as late as the Iraq War, I remember there was
- 4:32French and German resistance to the unilateral US action on
- 4:36invasion of Iraq. But what, what happened?
- 4:40What, what happened? Can you can you just share with
- 4:43us some of your thoughts? Sure.
- 4:46I think a big part of it is, is weakness and the strategic
- 4:51dependency on the US basically. So you refer rightly to the time
- 4:56of the Iraq war, which is a time when Sheilac was president of
- 5:00France. At the time, France was still
- 5:03not in NATO because the goal, as you said, had had pulled France
- 5:08out of NATO. They were still not back in NATO
- 5:12back then. But then since then, Sarkozy,
- 5:16who is the the next president of Toshiyaak, puts France back in
- 5:22NATO. When you're part of NATO,
- 5:26basically it's it's it's kind of like a protection racket, right?
- 5:31When, when you have another country that is in charge of
- 5:37your protection, which is what being part of NATO means,
- 5:42because you know, it's basically it's AUS LED military alliance
- 5:48where the US, you know, provides all the weapons.
- 5:51And in fact, you need to sign up when you're part of NATO to for
- 5:57I, I don't remember the exact term inter interoperability or,
- 6:02or something like that. Meaning you need to adapt your
- 6:05entire military to, to US standards.
- 6:11So in many ways it means it puts checkers on you, strategic
- 6:17checkers. That means that you're, you're
- 6:21defended by the US in, in the US military system.
- 6:30And you know, when, when, when you're defended by someone,
- 6:33there is not much you can do against, against them, right?
- 6:38So that's why I think that's a big part of the reason why we,
- 6:44we've seen sort of this, this rhetoric die down.
- 6:47It doesn't die down completely. So, for instance, at some point
- 6:50Macron said that Europe needed strategic autonomy and he tried
- 6:57to push for that. But, you know, Micron speaks a
- 7:01lot, but, you know, does quite little unfortunately.
- 7:06So that isn't what Europe on, on, on France is even haven't
- 7:13moved in in that direction at all.
- 7:16And in fact, you know, despite everything, even despite Trump,
- 7:23I think many people in Europe today realises, they realise
- 7:27Europe's predicament, how bad the strategic position is, but
- 7:35they can't do otherwise than making it even worse.
- 7:40So, for instance, you had this episode during the summer with
- 7:44the, with the tariffs on this negotiation between between the
- 7:49US and the on, on, on Europe around that and Europe basically
- 7:56surrounded. So they signed up for a
- 8:01tributary deal. It can be called like that where
- 8:04they agreed to, you know, send a lot of money to, to the US, buy
- 8:10an enormous amount of US energy, buy an enormous amount of US
- 8:16weapons, a lot of things that will make them even more
- 8:19dependent to the US. And, and I posted about
- 8:24interviews with top European leaders where they understand
- 8:28that it is a, a tributary deal. But they say, you know, not
- 8:32doing it would have been even worse because we're, we would
- 8:35have faced, you know, extremely strong retaliation by the US,
- 8:39very strong pressure that, you know, would have been very bad
- 8:43for, for us. So you know, you, you can, you
- 8:46can argue that it's a lack of courage on it certainly is.
- 8:50It's a lot of principles. It's it certainly is.
- 8:53But that's, that's the dynamic. Basically they're, they're kind
- 8:56of in, in, in their mind, they're kind of stuck and, and
- 9:01there is no political courage to to basically take the US on.
- 9:07That's that's what it is. Well, I understand inertia and a
- 9:13lot of the bureaucratic polls from Atlantis organisation like
- 9:18NATO, but what I always find puzzling is why the persistent
- 9:25hostility among the European elite toward China like China
- 9:31has, you know, they, they keep on portraying China as some sort
- 9:36of security threat to Europe, which is preposterous because
- 9:39China is on the opposite end of EUR Asian continent And, and
- 9:44the, the, the most interaction China has with Europe is through
- 9:47trade. But, but yet, you know, right
- 9:51now there's a, there's a tendency to talk China through a
- 9:54security lens and which, I mean, I'm guessing there's a lot of
- 10:00Washington pressure behind that. But why, why did European
- 10:03leaders go along with it? I I do not understand because
- 10:06China is actually one of the biggest trading partner for EU
- 10:09at the moment. Yeah.
- 10:11I mean, you know, you're you're preaching to the choir.
- 10:14So I've been saying this all along.
- 10:17I think it's a very bad strategic colour and I think
- 10:23that Europe, that's one of the ways in which it has actually
- 10:29leverage, you know, it, it, it, it could tell the US that, you
- 10:37know, China is an alternative. It could play that that sort of
- 10:40pivot role where it says, you know, if if you don't give us
- 10:45good terms, then we're going to go to China and sort of play one
- 10:48against the other that that would be a good a sensible
- 10:54strategic positioning for for Europe.
- 10:59And in fact, you know, some European leaders at some point,
- 11:06you know, said stuff along those lines, even surprisingly that
- 11:10there is this organisation called I PAC, which is the
- 11:16interperimentary alliance on China.
- 11:20I was very surprised at some point this year you had one of
- 11:23the leaders of I PAC in Europe say exactly that.
- 11:28That's, you know, Europe will will go to China as as an
- 11:33alternative to the US. It will be, you know, they would
- 11:38play this, this pivot from when ipaq is one of the key anti
- 11:43China organisations. So that was very surprising,
- 11:46right. So it's clear that some of those
- 11:50think along those lines, but others don't.
- 11:55It seems that the lines of, of the others have won and I think
- 12:01they're thinking, and you can summarise that from some stuff
- 12:06that Macron has said at some point.
- 12:09Macron said that he doesn't understand Trump that, you know,
- 12:17for, for the US, the first objective should be, should be
- 12:21China and Europe should be an ally for them in that regard.
- 12:27So I think that's the positioning that's that one in,
- 12:32in, in Europe trying to impress upon Trump that Europe is, is
- 12:41not an enemy. It's an ally against China and
- 12:45trying to, you know, basically keep the traditional, the
- 12:50traditional positioning of we're on your side.
- 12:54We're we're your best friends. You need to give us the best
- 12:57conditions because we can help you in, in a number of ways,
- 13:03which I think is the wrong core. Because, you know, knowing
- 13:06Trump, what he sees is weakness. And on when Trump feels
- 13:12weakness, according to his own declaration, he has no respect
- 13:17for that. That's when he, he, he presses
- 13:21for, you know, the world's conditions on which which is
- 13:24exactly what we're seeing in, in all the deals that he's making
- 13:28with, with Europe. Again, you know, on, on the, the
- 13:34proposal that, that, that they made with regard to, to Ukraine,
- 13:40it's extraordinary the how bad that is for, for Europe.
- 13:44It's a great deal for the one that's, that the US proposes
- 13:49great for the US. It's actually pretty good for
- 13:52Russia too, because you know, the, the window territory there
- 13:56is denazification in Ukraine, no NATO expansion.
- 14:02So it's, it meets a lot of their initial requirements, but for
- 14:07Europe it's, it's horrible. They need to bear all the costs
- 14:12they and, and all the benefits go to the US, right?
- 14:18So Europe has $300 billion of of Russian assets which are frozen
- 14:25out of those 300 billion, 200 billion will go to giant US,
- 14:32Russia investments, 100 billion will be used for Ukraine, but
- 14:3850% of of that will go to the US.
- 14:41So like nothing for Europe. So, yeah, that's that's why I
- 14:47think this, this strategy is, you know, will end up being
- 14:52extremely bad for, for Europe. But you know, we can only, we
- 14:57can only witness that that's the one they've chosen,
- 15:01unfortunately. Yeah, I'm really surprised how
- 15:03badly Europe play this game. I mean, you know, way they play
- 15:07worse than the Gulf Arab states. You know, you have you have
- 15:11countries like Saudi Arabia who, as you say, exactly play the
- 15:15China card. They, they, they are announcing
- 15:18my, they're thinking about pricing the oil sale to China in
- 15:22R&B and they're joining BRICS. And certainly Trump is courting
- 15:27the Trump travel to the, the Gulf countries and then Trump
- 15:30invite NBS to the White House, right?
- 15:33And, and whereas Europe, the whole optics is just bad.
- 15:37You have all those European leaders sitting like school
- 15:40children in the White House waiting to be sculpted by, by
- 15:44Trump and, and wanderling sitting there very demurely
- 15:48while, while Trump is announcing Europe is going to pay, we're
- 15:52going to make Europe pay. And she's positioned that as
- 15:56some sort of diplomacy climatic victory because Europe only got
- 15:59slapped with 20% tariff instead of 50% tariff.
- 16:03So that's somehow that's a great deal.
- 16:05I mean I, I, I mean I'm, I'm just flavoured.
- 16:09Yeah. I, I, I, I think the Nixperia
- 16:12case is actually extremely illustrative because it shows
- 16:16that when Europe could have positioned it in a way where the
- 16:22benefit from both sides. So the US and China, as per
- 16:28their positioning, they basically get hit by both sides,
- 16:33which is exactly what the next case is, right?
- 16:38So I, I don't know, maybe we I can explain it a bit.
- 16:44Yeah. So, So what happened is the US
- 16:51basically introduced a new rule because the BIS 50% rule which
- 16:56says that any company owned by a company sanctioned by by by the
- 17:06US would itself be sanctioned, which was not the case before.
- 17:13So for instance, so in in in this case, there is the Chinese
- 17:17company called Wintech, which has been sanctioned by the US
- 17:21since December last year. And they own that company in
- 17:27Europe called Nixperia, which is a massive company.
- 17:31It's 14,000 employees, most of them in Europe, very important
- 17:35for Europe's industry because they provide the chips for the
- 17:42European auto industry and also by the way, the a lot of the
- 17:46American auto industry and other industries as well.
- 17:50So it's a, it's a very strategically important company.
- 17:54And so that new rule would have meant that Nix Paria would have
- 18:00been on the US entity list, which means, you know, which is
- 18:06very bad for them because they can't use the dollar, they can't
- 18:09do any business with, with US persons and and so on and so
- 18:14forth. But the Americans went to the
- 18:16the Dutch because the company is based in Holland.
- 18:20And they told them, we have a very easy solution for you.
- 18:24You just need to steal the company away from the Chinese
- 18:28and that will make you, you know, a Dutch company and
- 18:32therefore you wouldn't be sanctioned.
- 18:35And the Dutch, you know, stupidly chose to comply.
- 18:41And so they invoked this World War 2 era law, which has which
- 18:48had not been used since 1952, a law that basically allows you to
- 18:55requisition, you know, strategic supplies during wartime.
- 18:59They basically said Nixperia is strategic supplies and we
- 19:03requisition it. What they hadn't thought about
- 19:08is that 80% of Nixperia's chips are made in China.
- 19:15And so obviously what is the first thing that China did is
- 19:18OK. I mean, you see the the company
- 19:21from us. So you know, say goodbye to the
- 19:23chips, right? And you know, obviously that's
- 19:28had tremendous consequences on the, on the European auto
- 19:32industry. And, and then during the the
- 19:42meeting that that she and, and Trump had in in Busan in South
- 19:48Korea, Trump agreed to withdraw that BIS 50% through in exchange
- 19:57for China withdrawing their rare earth export controls.
- 20:04Which means that the Dutch were basically left holding the bag,
- 20:08right, like they had stolen the company away from China for no
- 20:13reason anymore. Because that food that's, you
- 20:17know, they, they that had spelled this move was removed
- 20:23by, by the US. So again, this is Europe
- 20:27bearing, you know, all the costs both on the US side and the
- 20:33Chinese side, you know, being basically in the theatre of of
- 20:37both of those for, you know, entirely due to to their
- 20:42positioning. So what I said right from the
- 20:45start is Europe could have positioned itself as a
- 20:52principled actor saying, you know, this is AUS
- 20:58extraterrestrial law. We don't need to to apply it.
- 21:03We actually, you know, have our own law.
- 21:06European companies based in Europe need to need to respect
- 21:10European law. They don't need to respect
- 21:12American law. You know, Nixperia did.
- 21:14So we're going to protect it. That would have granted it.
- 21:20You know, that would have made Europe much more attractive to
- 21:25companies from everywhere because now, you know, everyone
- 21:29feels OK, like we're protected in Europe from from American
- 21:36extraterritorial legislation. Those guys, you know, have, have
- 21:41their own rule of law and so on. It's on, on.
- 21:44They're strong enough to protect us.
- 21:46And it would also have given them leverage, like a leverage
- 21:51point against the US as well. So that would have been, you
- 21:54know, a very good thing, good opportunity for Europe to assert
- 21:58some form of strategic autonomy. But instead they bought them to
- 22:03to the Americans, which made them which trigger this
- 22:08reiteration from China. So, so they could have had a win
- 22:11win, but the they went for lose, lose, which is basically what
- 22:17Europe has done for, for the past, you know, 10-15 years.
- 22:21It's, it's just, it's very depressing.
- 22:25And afterwards, there was a recent interview with the Dutch
- 22:28minister who authorised the seizure of Nesperia.
- 22:33He said, well, given what we know, you know now, now Dutch
- 22:37government is trying to hand over Nesperia back to China.
- 22:39But he said in the interview, he said, given what we know, I, I
- 22:43would do it again. I would I would do it again.
- 22:46Like why, why would you even talk make statement like that?
- 22:50But I don't want I don't like is he trying to speak to a
- 22:52particular audience trying to show his loyalty to the United
- 22:57States. I don't understand like why it
- 23:00it just completely unnecessary. It seems to antagonise China in
- 23:05that way you when there's already a chance foreclosure.
- 23:09You know, now the Dutch is preparing to hand over Nesperia
- 23:13and just have this put this matter behind us.
- 23:16Why would he even give an interview, say, oh, given what
- 23:19we know, I would do it again. I mean, it's just a is that is
- 23:23that hubris? Is it arrogance?
- 23:25What? What is it?
- 23:26I think it's a mix of ego on on just stupidity on.
- 23:34They don't understand what, what their, their words of what their
- 23:39words, the consequences of, of, of their words.
- 23:43And, and we keep seeing that all the time from European leaders.
- 23:46So, you know, just recently you had mailed so to the German
- 23:52Chancellor, you know, trigger a scandal in in Brazil because he
- 23:57said that he was very happy to to leave Brazil and go back to
- 24:02Germany because the place where he was in Brazil sucked, which I
- 24:09mean, yeah, you just don't say those type.
- 24:12Of course that's Brazil. And of course that's shooting
- 24:15yourself in the foot, right? Because why would you do that?
- 24:18It makes no sense. So it's just, yeah, they're not.
- 24:23They're not, they're not thinking about about what
- 24:27they're saying on the consequences for for Europe's
- 24:30diplomatic position. Now I have another question for
- 24:33you. As you know, you, you, I say
- 24:36European yourself, why do European voters keep on putting
- 24:41such leaders in the leadership position?
- 24:44I mean, it seems like these guys don't even represent Europe's
- 24:48interests. I mean, they haven't done a very
- 24:50good job in the stewardship of the EU, but why?
- 24:54Why aren't these guys keep on putting a, a, a a a position of
- 24:58leadership where they keep on leading Europe like down the
- 25:02Cliff? Yeah.
- 25:03I mean, so first of all, you can only vote for people who are
- 25:09candidates. And you know, when you look at
- 25:14the candidates that are available, it's, it's basically
- 25:20we have this expression in French, which is you need to
- 25:23choose between the plague and cholera, right?
- 25:26So it's like it's, it's, it's a bad choice versus a bad choice
- 25:29of fun. So you, you try to choose for
- 25:32the least, least bad one. And so, you know, in the last in
- 25:39the last French election, it was a choice between Macron Le Pen.
- 25:43You know, that's, that's not a great choice or, you know, you
- 25:47have the choice between yeah, it's, it's, it's, it's a lot of
- 25:56it's there was this expression at some point by a Tanzanian
- 26:01president who said that in, in the US is a, is a one party
- 26:08state. But in typical US exuberance,
- 26:12they have two of them. So, so it's a bit, it's often
- 26:16the same thing. Like you, you can choose between
- 26:21multiple parties, but you know, the face, the faces change and
- 26:25so on. But the policies will remain the
- 26:27same nonetheless. One of the point that that's
- 26:33worth mentioning is that those elections of foreign affairs
- 26:39matters quite little. That's often the case in
- 26:43elections everywhere. You know, you vote for people
- 26:47based on domestic concerns. And so that's what the elections
- 26:54are about most of the time about, you know, insecurity or
- 27:00immigration or those type of stuff, which means also that
- 27:05those leaders focus mostly on this and are quite uneducated
- 27:11about, about the rest of the world, on how to behave with
- 27:15the, with the external world, on the, you know, geopolitics, on
- 27:20the, on so on and so forth. Most French leaders to date
- 27:25didn't even speak English, for instance.
- 27:27Like, you know, they're, they're really, really French.
- 27:32I think my coin is the first one, if I'm not mistaken.
- 27:35So yeah, there is this. They're, they're very used to
- 27:42Europe, this mindset, they've grown up in it, they've been
- 27:45educated in the European way of thinking and so on.
- 27:48And they're not well travelled. They don't understand how the
- 27:52rest of the world perceives them.
- 27:56They don't understand how the rest of the world thinks.
- 28:00This is extremely obvious when it comes to to China.
- 28:03If you listen to what what the average French politician says
- 28:07when it comes to China, it's absolutely obvious that they
- 28:10don't understand the first thing about the the country.
- 28:13It's, you know, cliche after cliche, the same thing you you
- 28:16hear from completely uneducated people.
- 28:20So yeah, that's just the the quality.
- 28:24So it's a quality on the education issue.
- 28:26Wow, I, I, I'm shocked at kind of similarity between Europe and
- 28:31United States because you know, often we, we say your US is a
- 28:35extremely parochial country. You know, people are not really
- 28:39interested in things happening outside the US borders.
- 28:43So and, and people are not well travelled very few, only a small
- 28:47percentage you Americans held passport and most of the people
- 28:51who had who did travel abroad went to Canada and Mexico, the
- 28:55immediate neighbours. I was surprised you you describe
- 28:59the same situation in Europe because at least in North
- 29:02America it's thought that the European are a lot more worldly
- 29:06and not more, you know, well travelled and and then more
- 29:10cosmopolitan than United States. At least you guys speak multiple
- 29:13languages right? Not like some monolingual
- 29:16Americans. I I think in many cases it's
- 29:19actually even worse in in in Europe than it is in the US.
- 29:24I've lived in both countries. I think there is much more
- 29:28openness in the US than in Europe to point of views from
- 29:34other parts of the world, probably because the US is a
- 29:41very multicultural country. And so that's it's in its DNA.
- 29:47And so in some way to try to, you know, find common ground
- 29:51between different cultures, that that's how it was built, whereas
- 29:55that's not the case at all in, in Europe, right?
- 29:58We're, we're very old cultures where if, if someone comes to
- 30:03Europe, they need to adapt to us.
- 30:07We don't adapt to them, right. So maybe it is the case on, on
- 30:13it's, it's probably true that more Europeans have passports,
- 30:17for instance, than than Americans and so on.
- 30:20But the mindsets, I think is, is definitely more close minded.
- 30:25I, I can, you can just see it in the media.
- 30:27So there are some alternative medias in, in the US, actually
- 30:33quite a lot like the, you know, the grey zone or drop site or
- 30:38those people who are, you know, just there is freedom of speech
- 30:45in that regard and they understand the rest of the world
- 30:49and so on. In in France, it's, it's, it's,
- 30:53it's almost non existent. I mean, there are maybe a
- 30:56couple, but as soon as you say something, you know, that
- 31:00slightly deviates from the overturn window, it's it's a
- 31:05massive scandal. So, you know, recently you had,
- 31:12you had a French politician who said something, she said that
- 31:18China is not a dictatorship. She's a French MP.
- 31:22She said that the interview China is not a dictatorship,
- 31:28which you know, even if you disagree with that, I happen to
- 31:32agree with it. But even if you disagree with
- 31:35that, why should should it be shocking, right?
- 31:39Like anyone can have, can have their opinion, but that created
- 31:44a a national scandal in France. Like all the media started to to
- 31:48speak about that, how scandalous it was heretical to say that
- 31:53China was not a dictatorship and so on.
- 31:57You know, she's basically, you know, the black sheep now.
- 32:02So, so that's kind of the, the mindset we have.
- 32:05We have, I think for a very, very long time.
- 32:08This is not new in, in Europe, You know, we're a bit similar to
- 32:13the way we used to be during the Inquisition.
- 32:16You know, you, you have this period of European history, the
- 32:19Inquisition, where anyone was slightly deviated from religious
- 32:24orthodoxy, was a heretic and they were burnt at the stake and
- 32:29so on. This remains very strong in
- 32:32European culture that there is this orthodoxy when it comes to,
- 32:38to the thinking the, the, the mainstream mindsets.
- 32:42And it's much more heretical in Europe than it is in the US to
- 32:46slightly deviate from it on the, you know, the social
- 32:50consequences for, for you are, are very, very bad.
- 32:54Which is why, by the way, I actually tweet in English and
- 32:57not in French. I'm much more comfortable in
- 32:59French. That's, that's my language, but
- 33:04I feel more free to express myself on my topics in English
- 33:08to, to an English audience than I would be to a French audience,
- 33:12because I know that's what I'm saying will simply be, you know,
- 33:17too scandalous for France. Wow, I'm actually surprised by
- 33:22that because I always thought because I've been lived in
- 33:25China, in United States, I always thought US is way too
- 33:30ideological compared to China. Like I feel like China move into
- 33:34a post ideological phase after the end of Cultural Revolution,
- 33:39but the US has gone in the opposite direction.
- 33:41Like I feel like today's US is very, very much ideological of,
- 33:47you know, there's, there's always that, that deep impulse
- 33:51to spread Americanism. I see you all across the globe.
- 33:57It's a same evangelical impulse that existed before.
- 34:01There's a kind of kind of the, the, the, the, the, the, that's
- 34:04a part of the American Protestant Protestant heritage.
- 34:08But now instead of spreading gospel and, and, and then
- 34:11Christianity, now United States try to spread the so called
- 34:15universal value. But we all know it's not really
- 34:17universal. It's really just American values
- 34:20and they try to impose that on everyone.
- 34:23So I'm I'm surprised to hear that it's even worse in Europe.
- 34:26Actually quite shocked. Yeah.
- 34:28I mean, I mean, I, I actually agree to a large extent with
- 34:33you, but I think that's slowly dying in the US So I think Trump
- 34:38represents the end of that, of that.
- 34:42You know, Trump is anything but the liberal international value
- 34:49type, I think it's fair to say, right?
- 34:53And I think the Americans are starting to understand that that
- 35:00actually did them a lot of harm to try to, you know, spread
- 35:07their mudder around the world and so on, because simply people
- 35:10don't want it, right? Like China doesn't want it,
- 35:13Russia doesn't want it. All the big countries, Africa
- 35:18doesn't want it. They want to keep their culture,
- 35:21which is normal that there's just, you know, you don't want,
- 35:25you don't want to be converted to, to something that that
- 35:30doesn't feel natural. And so in, in a way, a big part
- 35:34of the, the reason behind the emergence of the multipolar
- 35:39world is this is this, this reaction to being positioned by
- 35:46the US of, of, of this framework.
- 35:48Like everyone would have been, I think, happy to live in a world
- 35:54where the US is a major power, but a power that doesn't try to
- 36:01impose things that you don't want, right?
- 36:05That would have been a comfortable world for everyone.
- 36:08Like China would have been happy with that.
- 36:10Like, you know, just let me live my life, right?
- 36:14But they didn't choose to do that.
- 36:16And as such, there is this this kind of rebellion which leads to
- 36:25to to a multicolar world. And so I think the US is
- 36:29starting to understand that. And, you know, Trump is not
- 36:32pushing for for that at all. Is, is, is all about, you know,
- 36:36pure cynicism and doesn't care about values and so on, which
- 36:41has its own issues, but but it's a different thing.
- 36:46Whereas Europe, they're very much stayed in that they still
- 36:50view the world in, in, in a very missionary way where they're
- 36:55like, we have the, the best values on the, you know, any we,
- 37:02we have, you know, we only engage positively with like
- 37:07minded partners. I mean, all, all the rhetoric
- 37:09that we used to hear from the US, they're still very present
- 37:12in, in Europe. So they haven't moved on at all
- 37:17so far. I don't see many politicians in
- 37:20in Europe who who are moving on that they are still in that
- 37:24mindset. What's a European political
- 37:29class plan are are they just trying to wait out Trump, trying
- 37:33to hopefully for like a return to a pre Trump America for like,
- 37:38you know, somebody more like Biden or, or Obama who talk
- 37:42about transatlantic partnership and, and you know, like alliance
- 37:47of democracy and, and all that all that good stuff.
- 37:50Or, or or they're just trying to, I don't know, survive?
- 37:54Survive the Trump era. What?
- 37:58What What are your take? I think it's very hard to
- 38:00discern a coherent strategy from from Europe, to be honest,
- 38:07especially because when you're talking about Europe, you know,
- 38:12what are you even talking about? There is this famous quote from
- 38:17Kissinger, which is Europe like, who do I call?
- 38:21Right? Who do you call?
- 38:23Do you call van der Leyen? But you know, half the European
- 38:27leaders hate her on anywhere. I spare Europe's own treaties.
- 38:33She has no say in, in, in, in, in foreign affairs when it comes
- 38:39to. So you know, that's no, no one
- 38:43would say she represents Europe. The UK Macron is on one line.
- 38:47The UK mercy is on the slightly different line, actually much
- 38:51more US friendly than than Macron.
- 38:54So I think that is, you know, very much part of the of the
- 38:58prime as per the way Europe is. It's, it's very, very difficult
- 39:06to have a coherent strategy emerge because there is no
- 39:11figure or, or, or or no structure to to, to, to make it
- 39:19arise. It's, it's all, it's all
- 39:22conflicts on the. And so you, you, you end up
- 39:26arriving at, you know, the, the, the lowest common denominator
- 39:30sort of like it's, it's, it's, it's, it's basically some sort
- 39:40of compromise. That's your strategy, some sort
- 39:44of compromise that everyone dislikes.
- 39:47But that's, you know, is that they can sort of live with which
- 39:56at the end of the day ends up being more of the same, right?
- 40:00No change because everyone is on a different plane.
- 40:04So that's that's very much the core of the issue.
- 40:08I would. Say, as a European person who
- 40:12have spent significant time in China and quite familiar, I
- 40:17would say you're quite familiar with Chinese culture and and and
- 40:22and politics. How do you think EU and China
- 40:26relationship should develop? I mean, like what?
- 40:30What is your ideal European Chinese relationship should look
- 40:36like? I mean, what I've always said is
- 40:39that first of all, the most important first step is mutual
- 40:45understanding. And I think China understands
- 40:51Europe fairly well. China spends an enormous of
- 40:58time, amount of time educating itself on the world.
- 41:01And they have, you know, when you meet the Chinese diplomats,
- 41:07you always like as per their education system for diplomats,
- 41:13they speak the local language of the country where they're,
- 41:16they're posted. They've studied the, the
- 41:18cultures. So, you know, the Chinese
- 41:20ambassador in France expresses himself in French.
- 41:25He studied French culture. So he gets the culture.
- 41:29But there is no equivalent in Europe, right?
- 41:35There are remarkably little Europeans even in the in the
- 41:41diplomatic world who understand China who speak Chinese.
- 41:47I don't think like I met the French ambassador to, to China,
- 41:52for instance, he doesn't speak Chinese.
- 41:55So yeah, that's, that's the first step.
- 42:00If you want to deal with with China, you first need to
- 42:03understand that because otherwise you, you base your
- 42:07action on an illusion of what China is instead of, of the real
- 42:14China. And I think this is one of the
- 42:21important moves that we're going to see as a multipolar world
- 42:24arises. I've, I've actually studied
- 42:28quite a bit the, what the multipolar world used to look
- 42:32like when we used to have one in, in like the 16th, 17th
- 42:37century. Back in those days, you know,
- 42:40China was very powerful, as it has always been almost in, in
- 42:44history. It's only after the industrial
- 42:46Revolution that, you know, you had the century of formation.
- 42:49China was very weak concerned, and then you had the West emerge
- 42:54as really dominant in the world. That wasn't the case before in
- 42:59in history. And so before, when China was
- 43:03very strong, you had I, I read a lot of books of, you know,
- 43:10Jesuit missionaries, for instance.
- 43:12We went to China. What I'm struck with when I read
- 43:16them is that there is none of that ideology that you have
- 43:21today where you know, they, they qualify China in, in, in very
- 43:27judgmental ways and so on. There is genuine attempt to
- 43:31understand them on why because China was so powerful.
- 43:36So when someone is powerful, you cannot submit them.
- 43:40You cannot say you know, you need to do what I say.
- 43:45You can only convince them of something.
- 43:49And so to convince someone, you need to understand where they
- 43:54come from, right? If you can't, if you can't
- 43:57dictate, dictate what they should do.
- 44:00You need to convince them. And in order to convince them,
- 44:03you need to to understand them. And I think this is a key
- 44:08requirement in a multi polar world.
- 44:10China is not too powerful to dictate anything to them.
- 44:16And so you need to convince them or in order to convince them,
- 44:20you need to understand them. So my advice, consistent advice
- 44:26to Europe is invest an enormous amount of resources in
- 44:31understanding China so you can have a relationship where you
- 44:36know if if you need to push your interest, you need, you can
- 44:39convince the Chinese. So that's, that's the first
- 44:44step, but you know, it's, we're far from it unfortunately.
- 44:50Yeah, why, why do you think that that is?
- 44:52Why is there such a in curiosity, you know, given that
- 44:58today EU and China has such important trade relationship,
- 45:01you know, given the, the, the enormity of the trade volumes
- 45:04that flows from China to Europe and vice versa.
- 45:08Why is then there's so much not, not as many people interested in
- 45:15finding out what is going on in the opposite end of the Eurasia,
- 45:19you know, the world's most important economy.
- 45:22Like I, I mean, I, I, I should ask the same question to, to, to
- 45:27United States. But you know, we are, we, I
- 45:28think we all know the answer because US Americans are usually
- 45:33too, too self absorbed in their own country and, and, and their
- 45:36own problems. But my question is for you as a
- 45:39European, why? Why do you think there is that?
- 45:42I mean, I understand why Chinese would have learned more about
- 45:46Europe or United States because, as you said, because of power
- 45:50imbalance, because, you know, the European power came to
- 45:52China's shores. So so ever since China has
- 45:56trying to learn what made Europe leapfrog China and and they
- 46:02tried to, you know, make sure China does not fall behind
- 46:05again. So what?
- 46:07But why? Why is there such a in curiosity
- 46:10about China when China is becoming more ever more
- 46:14important and there's or Europe's one of the largest
- 46:18trading? Partners.
- 46:19Yeah. So I mean, I, I think it's the
- 46:21legacy of arrogance. In fact, China used to be the
- 46:25same in in many ways. And and that was one of the
- 46:28reasons of it's it's downfall arguably during the the Qing
- 46:33dynasty where there was that level of arrogance where they
- 46:37were they knew they were very powerful.
- 46:40And so they didn't need to know the the rest of the world.
- 46:43And you know, lo and behold, you had actually the West that had
- 46:47become also very powerful on the on because China didn't
- 46:50understand them then, then they got beaten on.
- 46:56You know, that's, that's why China right now is, is very keen
- 47:00not to make this mistake again. And, and they invest so much in,
- 47:04in understanding others, understanding the, the world in
- 47:08which we, we live in. Well, I think it's much the same
- 47:12dynamic in in the West, in Europe, you know that they've
- 47:17been dominant in the world. I'm Speaking of the West in
- 47:21general for ever since the industrial revolution, so for
- 47:26like 250 years or so. And so there is that that legacy
- 47:32of we have no need to understand others because we're so used to,
- 47:37to submit them. So in my own education in
- 47:41France, I was not told at all the the history of the rest of
- 47:46the world. Like I knew nothing about China,
- 47:49literally nothing. I don't think I, I was ever told
- 47:52about any part of China's history in, in my education.
- 47:57I knew nothing about, you know, Africa and so on.
- 48:01It's, it's purely Europe centric.
- 48:03It's like we hold the truth on the all the rest.
- 48:08The rest of the world is we eventually either they've
- 48:15adopted or modelled, in which case is good.
- 48:17Either they haven't, in which case you know, they're they're
- 48:21mistaken and they eventually where that's kind of the the
- 48:25mindset. So it's, it's a whole mindset
- 48:29to, to change on that that takes a very, very long time.
- 48:33I mean, in China's case it took one century, the century of
- 48:38humiation. Arno, are you?
- 48:40Are you saying that the West need its own set century of
- 48:44humiliation before they learn the lessons?
- 48:49I mean, I'm saying it's, it's, it's no, no, I, I, I think
- 48:54unfortunately it's, it's part of cycles, right in history where
- 49:01you sort of you, you have this saying like strong men create
- 49:08good times, good times create weak men, weak men, weak men
- 49:12create hard times on the on so on and so forth.
- 49:15So we're in the weak men era and we need to have hard times in
- 49:20order to, you know, eat or handle pie and and sort of
- 49:25understand how to create good times again.
- 49:28Oh, this fascinating conversation.
- 49:30You know I can geek out on this with you for hours.
- 49:34Is there anything else you like to talk to my audience about,
- 49:38whether on Europe or or or China?
- 49:41Yeah, sure. I mean, maybe something I was
- 49:44writing just before this girl. I think it's quite interesting
- 49:50to see the way US, China relations are evolving.
- 49:57So you had a curl between Trump and XI yesterday, yesterday,
- 50:03China time, maybe it's still today, US time.
- 50:06I don't know where basically she she in in the transcript, in the
- 50:16Chinese transcript is reframing the China US relation as World
- 50:23War Two partners. Like we are partners.
- 50:27We need to uphold, you know, the World War 2 consensus like we
- 50:33were the victors of World War 2 and we need to, you know, keep
- 50:38that partnership going. So there is a on both sides, on
- 50:42both the Chinese side and the American side, there is a
- 50:45reframing of the, of the relationship.
- 50:49On the American side, you have the, you know, G2 framing by, by
- 50:55Trump. So I, I find this very, very
- 50:58interesting. And I think it's also a missed
- 51:02opportunity again, for Europe because and also when it comes
- 51:09to Russia, by the way, like Trump is starting to improve
- 51:13relations with Russia, which you know, is probably great for
- 51:17American interests, good for Russian interests as well.
- 51:21The relationship with China is being reframed as well.
- 51:26You have more positive language from both sides, from the
- 51:29Chinese side and the and the American side.
- 51:34And the Europeans again are left like behind, Like why would the,
- 51:40which is kind of crazy because, because it was mostly about
- 51:46China, US, right? That's where the main antagonism
- 51:50was. And so it was a a good
- 51:53opportunity for for for for Europe to sort of, you know, get
- 51:59ahead of that and say, OK, we are China's friends.
- 52:03And so, you know, the the Americans are kind of left on
- 52:07their own right. And you have the horror for
- 52:10Eurasia sort of being friend that that could have been a good
- 52:14a good thing from the European interest and pain.
- 52:17But because the DM jump on this opportunity, you know, Trump is
- 52:21doing that before Europeans and Europeans are sort of left as
- 52:24this appendage to to Eurasia that is that no one likes like
- 52:30Trump doesn't like them anymore. Russia doesn't like them.
- 52:33China are like, yeah, like you're you're weirdly
- 52:36antagonistic to us. We don't get it.
- 52:38Like, why? So yeah, I find this just, it's
- 52:46a shame basically from from the Europe standpoint.
- 52:49The Japanese actually had the term for it when Nixon first
- 52:53visited China back in the 70s. They call it a Nixon shock
- 52:57because the Japanese leadership were left completely in the dark
- 53:00when Nixon and Kissinger reframed the Sino American
- 53:05relationship. So they launched their own
- 53:07diplomatic offensive to improve their ties with China after
- 53:12that. But I, I don't know, I don't, I
- 53:14don't expect too much from the European leadership at this
- 53:17point. We'll have to wait and see.
- 53:21But this is, this is an absolutely fascinating
- 53:24conversation I'm having with you.
- 53:27And I look forward to have you on my show again, because this
- 53:31is a recurring thing on whether Europe can one day achieve
- 53:36strategic autonomy and be a one of the pull of the multipolar
- 53:40world. You know, everybody, including
- 53:43China is looking to Europe to take take a stronger stand.
- 53:46But so far there's a lot of disappointment.
- 53:49But this is a developing story we'll all keep.
- 53:52We all are keeping our eyes on it.
- 53:54And Europe is, you know, it's still, despite all its problems
- 54:00and Despite that it's currently being cannibalised by United
- 54:04States for its own goods, it's still remain a very important
- 54:07part of the world and the very important part of the world
- 54:11economy. This is why others have expect,
- 54:15you know, European leaders to finally grow a spine.
- 54:18But we'll have to see whether that that happens or not.
- 54:21So for people who want to reach you or want to follow you on
- 54:25social media, where would they go?
- 54:27Arnold? So on Twitter I'm Arno Bertrand,
- 54:31so you you can probably see my name and on sub stack where I'm
- 54:37under my name as well. OK.
- 54:39So, so do you, do you have more thought like do you feel like
- 54:41you, your, your content is getting more readership on on,
- 54:46on on Twitter or or sub stack nowadays?
- 54:49Well, definitely Twitter. I I I have an average about 100
- 54:55million views a month on Twitter which is quite a lot, whereas on
- 55:02sub stack it's, I don't know, not even 1 million or something.
- 55:08I mean, 1,000,000 is a large, no large number.
- 55:10I mean, congratulations. And you, you well deserve it
- 55:14because you actually take the time to write out this long form
- 55:18Twitter post, which, you know, I really appreciate because there
- 55:22you, you took your time and and, and, and, and to, to put these
- 55:27in simple language that everybody could understand.
- 55:32And, and, and a very important topic as well.
- 55:34You know, usually you write on. The thank you so much and it's
- 55:38in a way all your legacy because I think you were the first one
- 55:42to actually take a stance on, on Twitter, on the, on all of that
- 55:47to to be more to try to push a better understanding of of
- 55:51China. So you're the the original
- 55:57products on the on world comes followers in a way.
- 56:03I, I, I'm just a ship poster online.
- 56:06I have to, I have to make that disclaimer.
- 56:08You know, I, I, I most of most of the time post ship posting on
- 56:12on Twitter, just fun for me. But you, you reading your post
- 56:15is actually educational. So I urge everybody to to check
- 56:19out Arnold Bertrand on, on Twitter and, and go check out
- 56:23his sub stack. You know, he's, he's, he's, this
- 56:26is where he explored his thoughts in, in, in depth on the
- 56:31issue of Europe, China and US relationship, you know, in, in
- 56:36our fast changing world. Again, thank you Arnold, for
- 56:39making your time to, to speak to us.
- 56:42I look forward to have this conversation with you again in
- 56:45the future. Thank you, me too.