Why Labour needs a clearer, more long-term China strategy - Sarah Kuszynski

Over the past 14 years, the Conservative Party’s approach towards China has often been short-termist and reactionary, resulting in sudden shifts from cooperation to hawkishness. This is not good enough. UK-China strategy should be central to the UK’s foreign policy — China is a key player on the world stage and the UK’s fifth-largest trading partner.

Unless Labour articulates a clearer, more long-term China strategy, UK-China relations will continue to be stuck in a “strategic void,” with ambiguous policies and little sense of the threat China poses to the UK.

Promisingly, Labour has signalled that it somewhat understands this. As the new Prime Minister Keir Starmer has previously called out the Chinese Communist Party’s (CCP) human rights abuses and Chancellor Rachel Reeves has warned about China posing security threats, while Foreign Secretary David Lammy has recognised that there are still some areas where it is in our national interest to engage with China — for instance around climate change and AI.

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Nonetheless, Labour’s current China policy, which centres on three Cs – ‘Challenge, Compete and Cooperate’ – sounds suspiciously similar to the Conservatives’ ‘Protect, Align and Engage.’ For Labour to show that it has a coherent strategy, neat slogans need to be backed up by substantive policies.

Union flag and the flag of the People's republic of China. PIC: Arthur Edwards/The Sun/PA WireUnion flag and the flag of the People's republic of China. PIC: Arthur Edwards/The Sun/PA Wire
Union flag and the flag of the People's republic of China. PIC: Arthur Edwards/The Sun/PA Wire

One way to do this would be to address the UK’s lack of China expertise. Only two years ago, out of the Foreign Office’s 17,000 staff, there were reportedly only 41 Chinese speakers. And, while the then-Prime Minister Rishi Sunak did double funding for the China Capabilities Programme — intended to boost Mandarin language skills and knowledge of China’s economic and military policy among government staff — far more extensive steps must be taken.

The UK must develop its China talent pipeline, starting at our secondary schools and universities. This is especially pressing, as only 13 per cent of state schools offer Chinese language at GCSE and the number of undergraduates leaving university each year having finished Chinese studies is only around 300 – and declining. We need to build a broader base of knowledge on China. As such, the China Capabilities Programme needs to focus more on Chinese studies in universities and ensure more Chinese language teachers at secondary school level. Although developing talent can take time, it would immediately show that Labour is serious about UK-China relations.

But Labour must also take action against nefarious CCP activity.

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After several CCP-linked cyberattacks against MPs and the Electoral Commission, it is clear that protection of our critical assets is lacking. What is needed is credible deterrence to signal to the CCP that cyberattacks and intellectual property (IP) theft are not permitted and will receive swift retribution. The 2023 National Security Act goes some way to providing this. It increases the penalties for individuals involved in sabotage, foreign interference or who benefit from foreign intelligence services. The 2021 National Security and Investment Act also helps guard against investments that could pose security risks.

While these are good, Labour must also not shy away from using regulatory and financial ‘carrots,’ as well as ‘sticks.’ Harsh penalties for foreign interference should be combined with greater support, especially for start-ups and smaller-scale UK businesses, who are likely to need greater assistance to insulate themselves against cyberattacks and large-scale CCP attempts to extract valuable IP.

Sarah Kuszynski is a researcher at the Bright Blue think tank.

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