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13.02.2024 13:40

Chinese influence in Northern Europe

The latest BSR Policy Briefing dives into North Europe and regards its relations with China. Once regarded as a developing nation, China has swiftly transformed into a global economic powerhouse, asserting its influence across various regions and industries, including Northern Europe.

Human rights issues affect the relations with China

The briefing delves into the intricacies of China's engagement in the region, focusing specifically on Finland, Sweden, Denmark, Norway, Estonia, Latvia, and Lithuania. Historically, the Nordic countries enjoyed relatively harmonious relations with China. However, recent years have witnessed a shift in perception, with growing apprehension regarding China's human rights record, particularly its treatment of the Uyghur population. Baltic nations, having gained independence following the collapse of the Soviet Union, have navigated more recent diplomatic ties with China, often facing challenges due to their smaller economies and historical ties to Russia.

China's political influence tactics, exemplified by the issuance of spokesperson's remarks primarily in Sweden, Denmark, and the Baltics, serve to shape narratives and deter dissenting opinions. Despite being among the first to establish diplomatic relations with China, Nordic countries have encountered strains in their bilateral relationships, such as Finland's recent dispute over a damaged gas pipeline allegedly caused by a Chinese vessel.

China strategies help in balancing with cooperation and security

In response to China's evolving strategies, several Northern European nations have formulated official China strategies to address concerns while maintaining diplomatic engagement. Finland's comprehensive approach includes provisions for bilateral relations alongside a cautious acknowledgment of China's changing landscape. Denmark, while lacking an official strategy, has expressed apprehension regarding the rising espionage threat posed by China. Sweden, in a published white paper, balances concerns for national security with aspirations for continued cooperation. Norway, a pioneer in establishing a China strategy back in 2007, emphasizes promoting business interests, environmental sustainability, and human rights advocacy in its dealings with China.

Lithuania stands out as particularly vocal in its opposition to China's actions, drawing ire and warnings due to its close relations with Taiwan. Estonia and Latvia, too, have expressed concerns over China's growing influence and its implications for regional stability.

Chinese investments raise security concerns

Beyond diplomatic channels, China extends its influence through initiatives like panda diplomacy, Confucius Institutions (Cis), and the Belt and Road Initiative (BRI). While some countries view BRI as an opportunity for economic growth, others raise valid security concerns regarding Chinese investments in critical infrastructure.

Furthermore, Chinese Foreign Direct Investment (FDI) in Northern Europe has seen fluctuations, with a decline in recent years attributed to heightened security concerns and stricter regulatory measures. North European policymakers emphasize the critical need to bolster cybersecurity defenses, safeguard vital industries, and proactively identify potential threats in emerging sectors such as artificial intelligence and semiconductors.

Northern European countries need to safeguard their interests

In conclusion from author’s report, as China's influence continues to evolve rapidly, Northern European countries must remain vigilant and proactive in safeguarding their interests. Adaptable policies, robust cybersecurity measures, and strategic foresight are essential to navigating the complexities of China's presence in the region while preserving national sovereignty and economic stability. Through coordinated efforts and a nuanced understanding of China's tactics, Northern Europe can effectively mitigate potential risks and capitalize on opportunities for sustainable growth and cooperation.

BSR Policy Briefing 1/2024: China’s influence in Northern Europe

Panda diplomacy is one of China's strategies to harness soft power


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