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All talk and no deal? Macron’s China visit characterized by lack of concrete agreements
French President Emmanuel Macron arrived in China with a large trade delegation, but there was more talk of long-term strategic agreements than actual deals signed
Michael Marray 17 Jan 2018

FRENCH President Emmanuel Macron visited China with a large trade delegation, but there was more talk of long-term strategic agreements than actual deals signed.

Nonetheless, Macron was the first European leader to visit China after the 19th National Congress of the Communist Party of China, and he clearly wishes to position France as one of China's key global relationships.

The most concrete deal involves the sale of 184 Airbus A320 narrowbody jets, which both sides said will be finalised soon. China could also step in as a potential supporter for the Airbus A380 superjumbo (see article). But the lack of a firm signature on a planned nuclear waste management joint venture illustrates the fact that the visit was characterised more by long-term strategic discussions than actual deals getting signed.

In a press statement, New AREVA said that Areva and its Chinese partner China National Nuclear Corporation (CNNC) signed, in the presence of Xi Jinping and Emmanuel Macron, a memorandum of commercial agreement for the Chinese commercial used-fuel treatment recycling plant project.

"Through this memorandum, New AREVA and CNNC reaffirm their mutual commitment to complete the negotiations of the contract for the Chinese commercial used-fuel treatment-recycling plant project at the soonest, to launch the project in 2018, and acknowledge the substantial progress made in the negotiation during the past few months," the statement says.

The Chinese treatment-recycling plant (800 tonnes capacity) will be built on the model of the La Hague and Melox plants recognized for their proven technologies, highest standards of safety and security, and industrial performance.

Philippe Knoche, chief executive officer of New AREVA, comments: "CNNC and New AREVA have stepped up their efforts to reach agreement on the contract and we are seeing today very positive results. I am looking forward to finalizing the negotiations soon, and starting the implementation of this landmark project with our partner CNNC in 2018.”

But analysts point to a lack of urgency on the Chinese side, even though French finance minister Bruno Le Maire was quoted as saying that Paris had been given assurances that a contract would be signed this spring.

As far back as November 2007, former CEO Anne Lauvergeon said Areva could be building a reprocessing plant in China in two-to-three years “but we will not sign the contract today.”

In a statement on Wednesday, CNNC spoke of “deepening Chinese-French nuclear cooperation” but did not specify plans to sign the reprocessing deal. Areva CEO Philippe Knoche said he hoped to finalize the deal and start the project this year.

China is currently building two reactors at the Taishan Nuclear Power Plant in Guangdong Province, together with Areva.

During Macron's visit, China and France also announced plans for bilateral cultural cooperation, including plans to bring France's famous Pompidou Centre for Contemporary Art to Shanghai.

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