UK-China Relations
Gregory Stafford Excerpts(4 weeks, 1 day ago)
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Gregory Stafford (Farnham and Bordon) (Con)
I beg to move,
That this House has considered UK-China relations.
It is a pleasure to serve under your chairmanship, Ms Lewell. I welcome the opportunity to raise in this House the opportunities and implications of our relationship with China. I declare an interest as a member of the Inter-Parliamentary Alliance on China, alongside other colleagues in attendance today, who have consistently raised concerns over the UK’s relationship with China.
Since Brexit, the UK has rightly sought to establish new economic and trade relationships beyond Europe, aiming to diversify access to key commodities. As a result, China has become the UK’s third largest trading partner. This economic interdependence presents both an opportunity and a risk, which we must navigate carefully to uphold security, human rights and our fundamental values. Yet we have already seen how economic leverage can be misused. The UK-China economic and financial dialogue in January resulted in a rather uninspiring £600 million deal—hardly the sign of a robust, or indeed equitable, economic relationship. This is not a partnership; it is dependency, and dependency makes us vulnerable.
Take the UK’s reliance on China for renewable energy components, for example. My right hon. Friend the Leader of the Opposition made it clear in her policy renewal speech last Tuesday that the best way to deliver clear energy and a better environment is with the markets. However, the reality is that much of our push for net zero is built on Chinese supply chains, particularly in solar panels, wind farms and electric vehicles. A long-term net zero strategy cannot mean long-term reliance on China.
Tony Vaughan (Folkestone and Hythe) (Lab)
If the mechanisms and safeguards were robust enough to ensure that there is not slave labour in supply chains, would that address the hon. Member’s concern?
Gregory Stafford
I will come on to slave labour almost immediately, but to answer the hon. Member directly, I think the security concerns are too great. I welcome safeguards to remove slave labour, but there are still concerns beyond that that we should be looking at.
Sir Iain Duncan Smith (Chingford and Woodford Green) (Con)
Of course, that is a wish, not a reality. We have no way of ascertaining whether suppliers are buying from slave labour, and there is no punishment available should they be doing so. The situation is quite the opposite in the United States, which sanctions companies that have been using slave labour. That has made a big difference. The Government have to get their head around this, otherwise we are just going to get slave labour-made products all over.
Gregory Stafford
My right hon. Friend, who has considerable and lengthy experience of dealing with China, makes a crucial point. There is no point in having a wish list if there is no sanction or enforcement to back it up.
Trade with China is tainted by human rights abuses. I will give an example. Over 1 million Uyghur Muslims are imprisoned in a vast network of forced labour camps in Xinjiang; it is the largest mass arbitrary detention since the second world war. Despite China’s denials, we know that UK industries, from textiles to electronics, remain dependent on materials from that region. Xinjiang produces between 20% and 25% of the world’s cotton and polysilicon, which is a critical component in solar panels. That is why Lord Alton’s amendment 18 to the Great British Energy Bill, which secured cross-party support, was so significant in ensuring that our supply chains align with human rights standards.
On 25 March 1807, the Abolition of the Slave Trade Act received Royal Assent, yet 218 years later, Labour MPs blocked a ban on buying solar panels from China.
Sir Iain Duncan Smith
My hon. Friend is making a very good speech, but this is not just about human rights abuses. There is a reason that China uses slave labour—and it came from nowhere 10 or 12 years ago to now be the dominant player in the business. It is because it does not pay salaries, which makes the arrays cheaper. British companies go rushing over to get them because they are cheaper, and the Government do not mind too much because they do not have to pay so much. The key is that it has to be proper and functional.
Gregory Stafford
I entirely agree with my right hon. Friend. I will make similar remarks later in my speech, but that is key. Not only is it the use of slave labour, which should be enough to get the Government to start thinking seriously, but it is a complete undercutting of our market.
Luke Taylor (Sutton and Cheam) (LD)
The hon. Gentleman is being generous with his time. The right hon. Member for Chingford and Woodford Green (Sir Iain Duncan Smith) almost took the words out of my mouth. Is it not critical to exclude slave labour from the supply chain for solar panels, in particular, not only on moral grounds, but in order to enable alternative producers in Europe, South America and North America to compete on a fair playing field?
Gregory Stafford
The hon. Member is entirely right. I would be very surprised if anyone in the Chamber did not agree with him. The key point is how we move from what I think is relatively universal agreement to actual sanctions and enforcement, to make sure that our manufacturers are competing on a level playing field.
As an example of that, a 2023 report from the Helena Kennedy Centre for International Justice at Sheffield Hallam University noted that in 2020, China produced 75% of the global supply of solar grade polysilicon, and 45% of that was manufactured in Xinjiang. That is why the amendment that I alluded to earlier was crucial to cleaning up the supply chains and preventing the UK from becoming core to Chinese consumption.
Gregory Stafford
I will in a minute; I just want to make a bit of progress.
On Times Radio, the Housing Minister gave his “absolute” guarantee that solar panels for GB Energy projects on hospitals and schools will not include slave labour. But without legal requirements for companies to comply, will the Minister outline how she can be sure that such labour will not be involved?
China’s dominance in trade also extends to industrial production. The Intelligence and Security Committee report in July 2023 warned that the Chinese Communist party had penetrated “every sector” of the UK economy, leaving us with a £32 billion trade deficit. The consequences of this economic entanglement are already apparent. When a recent shipment from Xinjiang entered UK airports via European Cargo, neither Border Force nor the responsible Government Departments took the necessary steps to intervene. The failure to act leaves our economy exposed and less competitive.
Meanwhile, China remains the world’s largest carbon emitter: it emits 15 billion tonnes of CO2 annually and powers industries with coal while exporting steel and electric vehicles at artificially low prices. What is the UK doing? I urge the Minister to clarify whether the Government are considering measures similar to those that, as my right hon. Friend the Member for Chingford and Woodford Green (Sir Iain Duncan Smith) pointed out, the US is taking.
Tony Vaughan
Does the hon. Member not agree that the correct characterisation of the amendment to the Great British Energy Bill that he mentioned is that it was about restricting how the Government spend money on GB Energy? If it had been about a whole of industry approach, and stopping both private companies and the Government purchasing solar panels tainted by slave labour, that might have made sense.
Gregory Stafford
I fear that the hon. Member is dancing on the head of a pin there. To be frank, I do not agree with him on that. I think the Government should be really clear about what they are actually going to do to—
Sir Iain Duncan Smith
I need to deal with this point through my hon. Friend. The reality is that the Government already accept something on which I worked with them when they were in opposition, which is to get to exactly the same position as in the Health and Care Act 2022. The NHS is not allowed to buy anything made by slave labour—it encompasses everything. The amendment to the Great British Energy Bill would have done the same. To those who say, “It’s too narrow because it’s only one sector of the economy,” I say that we have already done it with health and care, and Labour voted for that at the time. I was rather proud of that.
Gregory Stafford
My right hon. Friend should be very proud of that and everything that he has done to stand up to Chinese aggression, on trade and on a number of the other issues that we will touch on during the debate.
Let me move on to the security and rule of law elements that I have concerns about. Economic interdependence is only one dimension of our vulnerability. The UK must also confront China’s growing efforts to exert influence and repress dissidents on British soil. The proposed Chinese mega-embassy at Royal Mint Court epitomises that threat. Despite being firmly opposed by the previous Conservative Government, it is now likely to proceed, apparently due to lobbying by the Home Secretary, the Foreign Secretary and even the Prime Minister. Housing 700 diplomatic staff, the complex could become a hub for transnational repression and espionage, putting at risk Hongkongers, Tibetans, Uyghurs and Taiwanese individuals who have sought refuge in the UK. The brutal 2022 assault on Hong Kong protester Bob Chan in Manchester, perpetrated by Chinese diplomats who escaped justice under diplomatic immunity, should serve as a stark warning to us all.
Beyond our borders, China continues its assault on democracy and human rights. Some 2,000 political prisoners remain in arbitrary detention under Hong Kong’s draconian national security law. One such prisoner, with whom I am sure we are all familiar—Jimmy Lai, a British citizen—has spent more than 1,500 days in solitary confinement without access to British consular support. The Government’s failure to assist him speaks of a broader pattern of weakness in standing up to the Chinese regime.
I therefore support the Bill promoted by the hon. Member for East Renfrewshire (Blair McDougall), which would legally enforce stronger consular protections for British journalists detained abroad. I hope that the Government will start to support it as well.
Mr Connor Rand (Altrincham and Sale West) (Lab)
Does the hon. Gentleman agree that the scale of fear in the Hong Kong community in this country is extremely concerning? Every aggressive act by the Chinese state, whether sanctions, violence against protesters or bounties, only increases the fear of the long arm of the Chinese state and of transnational repression, including among the Hong Kong diaspora I am fortunate to represent.
Gregory Stafford
The hon. Gentleman is entirely correct. The more the British Government and British agencies allow this to continue, the more China will believe it can get away with. As he says, that will put further fear into Hongkongers and others who are trying to escape the repression of China.
As China’s domestic repression intensifies, so does its global influence. Its growing control over international institutions, use of economic coercion and unchecked expansion of surveillance technologies all undermine democratic norms worldwide. The UK must be proactive in countering that. Our commitment to democratic values and ethical trade should serve as a counterweight to Chinese authoritarianism. Yet, despite our growing presence in international forums, we have been hesitant to challenge China directly. The Minister must clarify what discussions have taken place with Beijing regarding its blatant contradictions on freedom of the press, freedom of assembly and political rights, in China and abroad.
The pattern is clear: the UK is being drawn into China’s orbit economically, politically and strategically, while turning a blind eye, I am afraid, to its human rights abuses and security threats. We are facing not merely complacency from this Government, but complicity. Whether it is the approval of the Chinese mega-embassy, the failure to act on forced labour supply chains, or the refusal to stand up for British citizens unjustly imprisoned, this Labour Government have consistently chosen appeasement over action. The United States, and indeed the European Union, have already taken decisive steps to protect their economies, their security and their values. I ask the Minister, why is Britain lagging behind?
Luke Taylor
The hon. Gentleman is being generous with his time. Yesterday, I was lucky enough to meet Sebastien Lai, son of Jimmy Lai, who is still being held in Hong Kong by the Chinese authorities. Does the hon. Gentleman agree that the Government must take every opportunity available to them—every visit, every meeting with Chinese authorities—to raise the case of Jimmy Lai and demand that he is released as soon as possible?
Gregory Stafford
The hon. Gentleman is right. I met Sebastien Lai myself a few weeks ago and he made similar points to me, which I entirely agree with. To put it at its mildest, it is regrettable that the Prime Minister has not made this a priority. I hope that the Government’s decision not to engage with Sebastien Lai on this changes rapidly, because if it does not, it will send a dreadful message to others who are in similar situations and—as I said to the hon. Member for Altrincham and Sale West (Mr Rand)—will allow China to continue without check.
We must wake up. The CCP does not seek partnership with us: it seeks control. The UK must take urgent steps to decouple from economic dependency, to strengthen our national security and to reclaim our sovereignty before it is too late. I look forward to the Minister’s response and, more importantly, to seeing real action from the Government.
Emma Lewell (in the Chair)
I remind hon. Members to bob if they wish to be called in the debate.
Tony Vaughan (Folkestone and Hythe) (Lab)
It is a pleasure to serve under your chairship, Ms Lewell.
I congratulate the hon. Member for Farnham and Bordon (Gregory Stafford) on securing this important debate. I acknowledge my interest as chair of the all-party parliamentary China group. I pay tribute to the Minister for her role in improving the UK-China relationship and the UK’s bilateral relationships with other Asian nations such as the Philippines and Thailand. These are the fastest-growing economies in the world, and we need to trade and invest where the economic action is.
I participated in a cross-party delegation trip to Beijing at the start of this year. During the trip, it was clear to me—with my eyes wide open—that there is much that the UK and China can co-operate on. The focus of the delegation was on how the UK and China can strengthen global artificial intelligence safety regulations, and what learning we should share regarding our domestic approaches to that issue. It was clear that the UK and China can also increase co-operation on trade, especially by increasing trade in agrifood, life sciences, pharmaceuticals, education and professional services. There is also more we can do together to tackle climate change, promote biodiversity and strengthen global pandemic preparedness.
Gregory Stafford
I am fascinated by the argument the hon. Member is developing. Could he point to anything significant that China is doing to reduce its footprint?
Tony Vaughan
It is difficult to see how we are going to address these huge global challenges without involving China. I am not advocating for China, but relevant to the hon. Member’s question is the fact that it has a hugely fast-growing green energy technology sector. Of course China has huge carbon omissions as well, and that is another issue.
Oral Answers to Questions
Gregory Stafford Excerpts(6 months ago)
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Nigel Farage (Clacton) (Reform)
Gregory Stafford (Farnham and Bordon) (Con)
Stephen Doughty
We note the reports with significant concern, but the hon. Gentleman will understand that I am not going to comment on an ongoing police investigation. As I pointed out yesterday, the reports relate to historical conversations, not during the current round of negotiations. We are confident that we have achieved a treaty that meets our national security objectives, closes off a migration route and fundamentally respects the interests of the Chagossian people.
Gregory Stafford
How can the Minister continue to defend the ceding of the Chagos islands to Mauritius when China is rapidly expanding its influence in the Indo-Pacific? With no binding agreement against Chinese military involvement in the future, have the Government recklessly compromised British and allied security just to appease vested interests?
Stephen Doughty
I completely reject what the hon. Gentleman suggests about Mauritius somehow being in hock to China or the agreement somehow opening up a place for China. Let me be clear: Mauritius is one of only two African countries that have not signed up to the belt and road initiative. There is absolutely no way that we, or the United States, would have signed off a treaty across the national security apparatus that compromised any of our security interests or those of our allies. The unequivocal support from the United States—the President, the Secretary of State, the Defence Secretary and across the establishment—makes it clear that this is the right deal for our security and that of our allies.