2014 in Chinese-Irish Relations

Op-Ed Commentary: Stephen O’Regan

The year 2014 saw several trade missions from Ireland to China to expand trade and improve relations, missions that will likely prove mutually beneficial and aid the further development of Ireland’s export market.

One of these, organized by Enterprise Ireland, to both China and Korea in June 2014 resulted in contracts being signed between Chinese and Irish companies amounting to the value of just under RMB 40 million (5 million Euros). Furthermore, numerous jobs were created as a result.   

June 2014 also saw the establishment of the Sino-Irish Technology Executive Society (SITES), which aims to bring together leading technology executives from the Republic of Ireland and the People’s Republic of China for a number of forums each year to promote cross-border trade.

The establishment of SITES was announced on June 23 at the China Ireland Technology Summit, which was jointly sponsored by Summit Bridge Capital and was attended by over 300 delegates in Beijing and Shanghai. The China Ireland Technology Summit was part of a mission led by Irish Minister for Jobs, Enterprise and Innovation Mr. Richard Bruton, along with Enterprise Ireland, IDA and Summit Bridge Capital.

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Coming hot off the heels of November’s Irish Trade Mission to China, the Irish President, Michael Higgins and his wife Sabina Higgins then visited China in the hopes of establishing further ties between the two nations. China is increasingly seen as a great opportunity for Irish companies and the purpose of this visit was not only to enhance the interest in China for Irish investors but also to make Ireland a more attractive destination for Chinese FDI. For some time now, China has been the main focus of the Irish Government in terms of breathing life back into an economy that needs overseas help to thrive.

November’s Trade Mission had two main objectives, the first of which was to introduce Irish companies to the Chinese market. Simon Coveney, Minister for Agriculture, brought 37 Irish companies with him in the hopes of furthering development and trade. The second objective involved trying to convince the Chinese to lift the embargo on Irish beef. Beef from the E.U. has been blocked by China since 2000 following the BSE crises and Mr Coveney is trying to ensure that Irish beef is first in line should that ban be lifted. The Minister also said that these talks were a “major step forward” in Ireland’s relationship with China and even managed to arrange Chinese inspectors to visit Ireland in December to examine product quality.

During his Shanghai visit, President Higgins stated that these inspectors gave Irish produce a grade of 100 percent across all categories. This could indicate a willingness of the Chinese authorities to relax restrictions and also pave way for a brighter future for Irish beef suppliers.

The Chinese market holds great promise for Ireland, a country that already exports 90 percent of its produce and is deep in economic recession. No one believes that China alone can provide the solution to Ireland’s economic woes but such a huge market with an expanding middle class who demand quality products would certainly provide opportunity for some struggling suppliers.

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The rest of President Higgins’ trip involved deepening the cultural, political, scientific and educational ties between the two nations. The trip included the signing of two agreements between Irish and Chinese universities, which aim promote cultural and educational exchanges between Irish and Chinese students. These exchanges will certainly ease future trade and cooperation, and could also lead to a relaxing of rules regarding student and exchange visas.

Whether or not China will prove directly responsible for digging Ireland out of its economic rut is yet to be seen, but regardless, opening up trade routes and relaxing regulations have very little downside to them. President Xi has also accepted an invitation to Ireland extended by President Higgins. This will be his second visit to Ireland, the first being in 2012 when Xi was then Vice President.

One can predict that the future visit will entail further talks on developing the China-Ireland bilateral relationship and trade routes. But do these frequent talks mean that we will see direct flights from China to Ireland or a visa program similar to that of the newly established 10-year visas between China and the U.S.? Hopefully these questions and more will be answered when President Xi visits Ireland in 2015.

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