Elaine Loughlin: Tánaiste knew his comments would draw heat from China, but the time was right

Micheál Martin's comments this week warning that the Government and private sector need to be "realistic" and "clear-eyed" about China's strategic objectives did not go unnoticed by the superpower. They come at a particularly delicate time when China is beginning to re-engage with Europe

Europe is now trying to re-establish a post-covid relationship with China amid a growing distrust, especially around the social media platform TikTok.

Micheál Martin knew well before he started into a lengthy and pointed address on China, that his comments would create more than a few ripples.

A keynote speech given by the Tánaiste this week, which provided a substantial update on Ireland's position, included a warning that the Government and private sector need to be "realistic" and "clear-eyed" about China's strategic objectives and their implications for Ireland.

He also made it clear that while our economic relationship has greatly expanded, reaching €34.5bn in two-way trade in 2021, we will not turn a blind eye to human rights and other issues in return for financial investment or trade deals.

For a number of reasons, the remarks come at a very interesting juncture — Europe is now trying to re-establish a post-covid relationship with the superpower amid a growing distrust, especially around the social media platform TikTok.

In recent weeks the National Cyber Security Centre has advised that public servants should delete the video-sharing app from devices over fears that the data contained could be sent to the Chinese government. This warning comes after similar diktats, including to EU Commission staff.

Establishing what must be an altered post-covid lockdown relationship with China is a balancing act that Europe knows it has to get right, especially at a time when the rules-based order, which acts as a code for States to follow in being good international citizens, is being eroded by Russia's attack on Ukraine.

Martin doesn't have to look far to see the value of Chinese investors with the likes of Cork's Kingsley Hotel and the Fota resort being bought up by the Beijing-based Kang family in multi-million-euro deals in the past decade. Irish beef exports to China, including Hong Kong, were worth €45m in 2021, it could be viewed as a difficult line to straddle.

In short, the Tánaiste in his role as Foreign Affairs Minister said the relationship with Beijing is one that we value, however, the value of this cannot allow small nations like ours to be "silent when we see evidence of core principles being undermined".

"We want to work constructively together; addressing climate change, advancing sustainable development, ensuring the protection of human rights and fundamental freedoms for all, building a fair and open global trading and investment system," he told a Royal Irish Academy event on Tuesday.

"But we are not naïve," Mr Martin told the gathering, before stressing the need to maintain the multilateral system, with the UN Charter at its heart.

In comments that provided strong media headlines, Martin went on to say that the private sector, academia and other domestic partners need to "reflect" on how they can continue to build valuable relationships in China, in areas where it makes sense to do so.

"They need also, though, to assess their level of exposure and identify areas where it may be necessary to de-risk." He stressed that the Government and private sector need to be "realistic" and "clear-eyed" about China's strategic objectives and their implications for Ireland.

China's relations with the EU and US

Sources have indicated that Martin, in his remarks, was pointing to the large reliance EU countries now have on China. Across the Atlantic relations with Beijing are becoming ever more fraught where the possibility of full-scale decoupling from China has been floated.

Tensions have only been frayed further since the decision was made to hit China with semiconductor export controls, which US Treasury secretary Janet Yellen said is not designed to stifle economic and technological modernisation but is "vital" in safeguarding certain technologies from the Chinese military.

While not at the level of intensity seen in the US, it is clear that Europe is making strong efforts to redefine its terms of engagement with Beijing.

Martin reiterated and endorsed recent comments made by European Commission president Ursula von der Leyen who distanced herself from any move that might be in line with the US towards a full-scale economic decoupling and instead outlined that the EU favours de-risking from China.

A source close to Martin later said that de-risking is about creating economic strength and agility. "We need to beef up European microchip production, for example, microchips are in everything.

"If you are too reliant on one supply chain whatever happens geopolitically disrupts it. So, if there is increasing protectionism, where does Europe get its supply of microchips, for example?

"It's about ensuring that Europe has more secure supply chains and has more economically resilient."

War in Ukraine

The rekindling of the EU-China relationship, however, is now also grounded in a new context, that of the war in Ukraine and China's close ties to Russia. It is clear that Europe wants to lean as heavily as possible on China in this context.

Citing a position paper issued by China in February, Martin welcomed the fact that it had stated that the sovereignty of all countries must be respected and that it made clear China’s opposition to the use of nuclear weapons and attacks on nuclear facilities.

However, he called out China for remaining silent on Russia’s aggression and said the recent State visit of President Xi Jinping to Moscow was a "visual demonstration" of the close ties between the two countries.

Mr Martin said:

To date, China’s proposals for peace have not acknowledged that Russia started this war – and that it is Russia that can, and must, end it.

He reminded China that it had assured the Ukraine of support for its sovereignty and territorial integrity, within its internationally recognised borders after the dissolution of the Soviet Union in 1991.

"I call on China to reflect on this commitment, and to use its considerable influence to end Russia’s war." A source said encouraging Beijing to exert its influence on Russia is now a priority for European leaders and is seen as a potential route out of the war.

"Russia can't ignore China," a source close to Martin said, adding that it has a "role to play" in retaining the rules-based order.

China's reaction

The remarks given at the Royal Irish Academy event, did not go unnoticed and the Chinese embassy in Dublin reacted with a statement of more than 800 words in which a spokesperson accused Mr Martin making “overexaggerated” and "groundless" claims.

The embassy said that the Tánaiste “made misleading comments on China’s stance on current international hot issues” and made “groundless accusations” against China on issues related to Taiwan, Xinjiang, and Hong Kong, interfering in China's internal affairs.

The Chinese embassy added that the comments denied the achievements of China-Ireland relations and "turns back on a brighter future for this relationship".

Martin's intervention comes at a particularly delicate time when China, after emerging from lockdown, is beginning to re-engage with Europe as has been seen with a number of high-level visits from European leaders. This included Green Party leader Eamon Ryan who travelled there for St Patrick's Day events.

But it seems Martin is willing to take whatever heat he comes under to raise the plight of the Uyghurs and other delicate issues.

Despite the backlash from the Chinese Embassy, a source close to Martin said he stood by the tone and content of the speech: "This was a chance for the first time in quite a while to explicitly put a position on the record regarding China, it was seen as time to do it," the source added.

"It was time to put a flagpole in the sand around all of these things."