China under Xi Jinping- A New Trend

in Foreign Policy?

by D. S. Rajan
There are signs that President Xi Jinping of China has begun a process to transform
the direction of the countrys foreign policy course by beginning to focus on economic
interests. Does this mean a change in the countrys hitherto followed assertive core
interest-based external line? No definite answer to this question can be given at the
moment, but appearing meaningful in this regard is Xi Jinpings declaration (Bo Ao
Forum, March 2015) that his country is ready to sign friendship treaties with
neighbors.
Hypothetically speaking, the neighbors of the PRC who want to benefit from close
economic ties with China, but at the same time feel compulsions to worry about
Beijings aggressive push of its territorial claims, will feel relieved if China tones down
its assertiveness abroad at action levels. In reality however the situation is different;
consider creation of artificial islands in South China by sea by China with an eye on
gaining strategic superiority vis--vis other claimants. This being so, undoubtedly one
has to wait further for a full picture ; much would depend on the nature of future
domestic and foreign policy developments in China. In the case of India, it would be
beneficial for it to probe the Chinese new foreign policy thinking utilizing the
opportunity of the impending visit to Beijing by its Prime Minister. In particular, it
may look for fresh Chinese indicators to their readiness to be more flexible on bilateral
trade imbalance issue and be more accommodative on the border problem,

including on sticking points concerning the issues of stapled visas to Indians and
Chinese intrusions across the Indian border.
( April 10, 2015, Chennai, Sri Lanka Guardian) The outside world is already familiar
with the two main contributing factors to the post-2009 international assertiveness of
the Peoples Republic of China (PRC) (i) the confidence gained through its ability to
achieve a sustained growth leading to a build-up of the countrys comprehensive
national strength and (ii) the conviction that an opportunity has arisen for itself to
increase its influence globally as the world balance of power shifts from the West to
East and a multi-polar world gradually emerges. Feeling the necessity to provide a
theoretical frame work for such assertiveness, the PRC introduced a core interest
concept which had three components preservation of basic state system and national
security, protection of national sovereignty and territorial integrity and the continued
stable development of economy and society (Dai Bingguo, US-China Strategic and
Economic Dialogue, July 2009). The concept became the cornerstone of Chinas
foreign policy since that year.
1. The demands on China imposed by this core interest-based foreign policy
course for making no compromises on all issues concerning the countrys
territorial sovereignty, are resulting in the PRCs territorial assertiveness which
is giving rise to fears among the neighboring nations about the intentions of the
former. In this regard, what the Chinese Communist Party (CCP) leader Xi
Jinping has said (Speech delivered at a party Politburo Study session convened
on 28 January 2013) are important. He declared that China will never pursue
its development at the cost of sacrificing interests of other countries . We will
never give up our legitimate rights and will never sacrifice our national core
interests. No country should presume that we will engage in trade involving our
core interests or that we will swallow the bitter fruit of harming our
sovereignty, security or development interests. The 18 th CCP Congress
document (November 2012) echoed the same spirit. It proclaimed that Chinas
banner is to forge a win-win international cooperation; at the same time it laid
emphasis on making no compromises on issues concerning national
sovereignty and security of core interests. Most significant has been the
documents clarification that the two aspects are pillars of Chinese diplomacy
and do not conflict with each other(Peoples Daily, 16 November 2013); the
mention in the document that China will never yield to outside pressure and
will protect legitimate rights and interests overseas, was noticed for the first
time in a CCP congress material.
2. Under the continuing core interest-based foreign policy approach, China, as
expected, is adopting an assertive line in its external relations. It has set aside
veteran leader Deng Xiaopings foreign policy position of hiding ones capacities

and biding ones time as symbolized in the current stress on China playing an
international role of a responsible, big country (Chinese Foreign Minister,
Beijing, 8.3.2014). The PRC is intensifying rivalry with the US, increasing
confrontation with Japan and displaying toughness on territorial and maritime
issues. Signs confirming Chinas assertiveness include the repeated stress on
national rejuvenation, allotment to the army of the aim of winning a regional
war in the age of information technology and steps like the declaration of East
China Sea Air Defence Identification Zone and construction on reefs in the
disputed Spratly islands in South China Sea to create artificial islands with
facilities that could potentially be for military use, including an air strip.
3. 4. Opinions being expressed of late by influential Chinese scholars, on the other
hand, point to a different trend. They are signaling that the Xi Jinping
leadership has carried out a strategic policy review which has facilitated
adoption of a decision in favour of shifting the focus to economic interests in
external ties. According to them, there is already a trend to this effect since early
summer of 2013. [1] Confirming it, known Sinologists in the West say [2] that
the shift is due to the perception in China now that economic recession is a
bigger challenge than external threats. They reveal that a consensus has been
reached by the Xi administration on what should be the theoretical foundation
of the current major contradictions in the Chinese society. Identifying the Four
Comprehensives concept introduced by Xi Jinping in December 2014
(comprehensively, build a moderately prosperous society, strengthen reforms,
establish rule of law and set up party that have defined) as such foundation,
they have observed that the leader, unlike his predecessors, seems to have
realized that the central task of development can be achieved only if changes
could be brought into the structure of international economic and political
order. Also according to them, President Xi Jinping has redefined and expanded
the function of Chinese diplomacy and that he will attempt to alter some of the
foreign policy processes and power relationship that have defined the political,
military, and economic environment in the Asia-Pacific region.[3] Put together,
all the opinions seem to have valid grounds considering Chinas actions and
statements being witnessed since 2013, as listed below:
Adoption of the foreign policy formulation of New Type of Great Power
Relations:Promoted by the PRC President Xi Jinping in his meetings with US
counterpart Barack Obama in June 2013, July 2014 and November 2014, it primarily
addresses Sino-US ties. It had three points major powers should have no conflict or
confrontation, should emphasize dialogue and should treat each others strategic
intentions objectively; they should have mutual respect, including for each others
core interests and major concerns; and they should conduct mutually beneficial
cooperation, abandon the zero-sum game mentality and advance areas of mutual

interest ,
Unveiling of the Community of Shared Destiny concept (figured in the address of the
CCP chief Xi Jinping at the Central Conference on Work Relating to Foreign Affairs,
held in Beijing in November 2014). Providing for realizing Asias economic potential
and durable security, it stipulated that community of destiny will be based on deep
economic integration, but going beyond trade. It will be a vision of a political and
security community in which economically integrated countries in the region support
and defend one another from outside threats and intruders, as well as manage internal
threats together through collaborative and cooperative mechanisms ,
Top foreign policy priority to ties with periphery: This has happened in the conference
mentioned above: the listed order was periphery, Great Powers and Developing
countries. The priority shift reflected Beijings assessment that relations with Asian
nations and with rising powers are becoming more and more important to it in terms
of economy and security, than ties with the developed countries. Confirming the new
Chinese thinking is Xi Jinpings declaration that Asians have the capacity to manage
security in Asia by themselves[4]. Experts[5] assess that the first priority to periphery
reflect the Chinese perceived long-term economic and geo-political trends. Chinas
Vice Foreign Minister stated in April 2014 that the countrys trade with East and
Southeast Asia totaled $1.4 trillion, more than Chinas trade with the United States
and European Union combined. He noted half of Chinas top ten trade partners are
in Asia. Moreover, China realizes it must secure its geostrategic flanks to prepare the
countrys ascent into the upper echelons of global power,
Promulgation of a mega one belt, one road initiative to establish regional
connectivity: A Silk Road Economic Belt is to be established along the Eurasia, land
corridor from the Pacific coast to the Baltic Sea, and the 21st century Maritime Silk
Road connecting Asia and Europe through sea route,
Creation of new multilateral institutions: To be set up are the New Development Bank
(formerly referred to as the BRICS Development Bank), the Asian Infrastructure
Investment Bank, and the Contingency Reserve Arrangement.
Beijings proposal for Free Trade Area of the Asia-Pacific
Repeated references to the term peaceful development: China has stated that the
operative term for its foreign policy in 2015 will be one focus (promoting the One
Belt, One Road initiatives) and two main themes (peace and development)- Chinas
Foreign Minister Wang Yi, Global Times, 9.3.2015,
Xis announcement that China is ready to sign friendship treaties with neighbors :
Made during the address of Xi Jinping at Bo Ao Forum on 28.3.15,
Continuing Stress on balancing security and development: The CCP Politburo
meeting on National security (January 2015) alerted China on un- predictable and
unprecedented dangers facing it and declared that while China would seek to ensure
its national interests, will promote common prosperity of all countries. For this, there
would be three focal points Great Power Relations, security environment in the

immediate neighborhood and cooperation among developing countries, [6]

Treating Economic Recession as main challenge: The Chinese scholars have said that
external factors like conflicts with Japan, the US and neighboring countries are still
manageable and will not subvert external environment if they remain under control.
Security has not yet surpassed development as priority for party and government.
[7]While acknowledging that sovereignty is vital for the survival of Chinas political
system, they have felt that its place in the order of national strategic priorities should
be pushed back due to a lack of pressing external threats as political and social unrest
generated by an economic recession is the greater danger now(Xiandai Guoji Guanxi,
January 2013, footnote No.2),
Increased level of Sino-US cooperation on security issues: prominent cases are those
relating to North Korea, Syria and Iran,
Some thaw in China-Japan Relations: Four Point consensus (7. 11.2014) was reached
which facilitated Xi-Abe summit meeting,
Chinas moderation on South China Sea issues: The PRC is now willing to work with
ASEAN on reaching consensus towards conclusion of a code of conduct in the South
China Sea at the earliest (Chinese Premier Li Keqiang, Naypyidaw, 12.11.2014),
Chinas improvement of ties with the ASEAN: Beijing desires to conduct early
harvest projects to demonstrate to ASEAN states that the Maritime Silk Road is in
their interest. Beijing would open a China-ASEAN marine cooperation center (Yang
Jiechi, April 2015),
Increasing Chinas exchanges with Vietnam: Chinese State Councilor Yang Jiechi was
in Vietnam in October 2014 for a meeting with Vietnamese Deputy Prime Minister and
Foreign Minister Pham Binh Minh. Their talks were held under the framework of the
China-Vietnam Steering Committee on Cooperation, signaling a return to normalcy
after maritime tensions. Vietnamese party Chief Nguyen Phu Trong is to visit China in
April 2015; improvement in bilateral relations is expected.
1. What looks certain is that some kind of transformation in foreign policy is taking
place in Xi Jinpings China. For Xi, national rejuvenation is the overall strategic
objective. It looks definite that to achieve that, he has come to consider seeking
of economic interests outside the country, as a mean. The key question will be
how that is going to impact on Chinas external behavior, so far dominated by
assertiveness? Surely, China will be against diluting the present core principle of
its external approach a combination of seeking win-win relationship and
making no compromise on sovereignty related issues. This being so,
hypothetically speaking, it will be welcome news to the neighbors of the PRC
who remain concerned over Beijings aggressive push of its territorial claims, if
the Xi Jinping leadership chooses to tone down the level of its external
assertiveness at action levels. But as for now, this is not happening; an example
is creation of artificial islands in South China by sea by China with an eye on

gaining strategic superiority vis--vis other claimants. But policy changes in

future look probable if one looks at the appearing signs towards shift of focus, as
mentioned above. Much would depend on the nature of future domestic and
foreign policy developments in China.
2. For India, the Prime Minister of which is visiting China in May 2015, the
apparent latest prominence to economic interests externally could be of great
interest. It may have to watch for signals during the visit of fresh Chinese ideas,
if any, on contentious issues like trade imbalance and the border , in particular
on the Chinese stapled visas to Indian nationals and the continuing Chinese
intrusions across the Indian border. It may especially be important for India to
gain an understanding on the occasion about the meaning of Xi Jinpings latest
declaration on Chinas readiness to sign friendship treaties with neighbors.
(The writer, D.S.Rajan, is Distinguished Fellow, Chennai Centre for China Studies,
Chennai, India.Email:dsrajan@gmail.com)
[1] Analysis by noted Chinese scholar Shi Yinhong of the Renmin University, Beijing (
Chinas Complicated Foreign Policy,
http://www.ecfr.eu/article/commentary_chinas_complicated_foreign_policy3,
dated 31 March 2015)
[2] Timothy Heath, Xis Bold Foreign Policy Agenda Beijings Pursuit of Global
Influence and Growing Risk of Sino-US Rivalry, China Brief, Vol 14 issue 6, dated
19.3.2015http://www.jamestown.org/programs/chinabrief/single/?
tx_ttnews[tt_news]=
1. 3. Michael D.Swaine, Xi Jinpings Address to the Central Conference on Work

Relating to Foreign Affairs: Assessing and Advancing Major Power Diplomacy

with Chinese Characteristics, China Leadership Monitor, No.46,
19.3.2015,http://www.hoover.org/publications/china-leadership-monitor
[4] Xinhua , May 21,2013
[5] Timothy Heath, Chinas Big Diplomacy Shift, the Diplomat, 22.12.2014
[6] Chinas National Security Strategy, Shannon Tiezzi, the Diplomat, 24.1.2015
[7] Liu Jianfei, An Evaluation of Chinas Overall National Security Environment,
China Institute of International Studies, 14.11.14
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