China on Monday urged the European Union to reverse its decision to impose sanctions on two Chinese banks, warning that it would take countermeasures to safeguard its national interests. The warning comes ahead of a scheduled meeting later this week between Chinese President Xi Jinping and European Commission President Ursula von der Leyen.
The European Union unveiled a fresh round of sanctions last Friday, targeting two Chinese banks and five companies accused of aiding Russia in bypassing restrictions tied to the Ukraine conflict. Among the sanctioned entities are Heihe Rural Commercial Bank and Heilongjiang Suifenhe Rural Commercial Bank, both of which allegedly facilitated cryptocurrency transactions that undermined the EU’s measures against Moscow.
It’s the first time that Chinese banks have been included on the European Union’s sanctions list since Russia’s invasion of Ukraine in 2022.
China’s Ministry of Commerce condemned the sanctions, saying they have “severely damaged trade, economic, and financial relations.”
In June, prior to the implementation of sanctions, China voiced opposition to the EU’s proposed measures. Foreign Ministry spokesperson Lin Jian emphasized that standard business interactions between Chinese and Russian firms align with WTO regulations and argued for the continuation of such exchanges without disruption.
President Ursula von der Leyen and European Council President Antonio Costa will join President Xi Jinping and Premier Li Qiang in Beijing on Thursday for the 25th China-EU Summit. The discussions will center on trade relations, with particular emphasis on access to China’s rare earth minerals.
The sanctions add to a growing list of tensions between China and the European Union ahead of the summit. The two sides remain sharply divided over multiple issues, including China’s restrictions on rare earth exports, the EU’s tariffs targeting Chinese electric vehicles, and ongoing disputes over market access, among other points of contention.
IMEX SECTOR | Bangladesh Inks MoU to Import U.S. Wheat, Seeking Tariff Relief
