At the Boao Forum for Asia, former Italian Undersecretary of State and Adjunct Professor at NYU Shanghai, Michele Geraci, said that in frequent contacts with Italian officials, he urged both Italian and EU leaders to take a “more diplomatic, less aggressive” approach toward China and recognize that “the world is moving to this new multipolar world.” Geraci told the Global Times that “for the last several weeks and months, I’ve actually tried to make Italian Prime Minister Giorgia Meloni and the Italian government understand a few things about China that they may not see from Rome,” he said. “One is that the trade deficit does not matter.” He noted that Italian officials are overly focused on the trade imbalance with China. He told them: “Do not worry about it. We need to buy things from China. It’s not that if you have a trade deficit, you lose; if you have a trade surplus, you win.”
Geraci added that we need to improve our foreign policy toward China, to make it more constructive, less aggressive, less anti-China.” Misunderstandings about China in Europe stem partly from political incentives. “Many European and Italian politicians have a short-term interest to create an ‘imaginary monster’ that they can fight against,” he said. “It doesn’t matter if it’s real or not, they need to have a ‘monster’ to get votes.” Geraci said such misunderstandings are also reflected in Europe’s unclear perception of China’s development. He also stressed that Europe continues to underestimate China’s industrial and technological capabilities.
“They don’t know that China is advancing in AI, in semiconductors, in health, medicine, curing cancer, and many other things,” he said, noting that many in Europe still believe China is “more backward” and “copies.” Looking ahead, Geraci highlighted the broader significance of China’s policy direction. He said the main contribution of China’s 15th Five Year Plan lies in “clarity and stability,” emphasizing that “what matters is that China gives a direction” and that it “pretty much always meets its focus.” He concluded that the role of China’s five-year plans extends beyond domestic development, serving as “clarity and taking away volatility” for the global economy at a time of rising uncertainty, as reported by the Global Times.
