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Keir Starmer wants UK Plc to win over China’s Xi without annoying Trump
The Economic Times· 2026-01-28 11:27
Group 1: Trade Relations and Economic Strategy - UK Prime Minister Keir Starmer aims to broaden trade ties with China while maintaining a balanced relationship with the US, emphasizing the importance of British exports [1][10][34] - Starmer's delegation includes executives from major British banks and manufacturers, indicating a strong focus on enhancing trade relations with China [1][10] - The UK's strategy involves categorizing tradeable goods with China, although managing these separate tracks may become challenging in the long term, especially in digital commerce [7][10] Group 2: Automotive Market Dynamics - The UK has become a leading destination for Chinese electric vehicles, with BYD and Chery rapidly gaining market share against competitors like Tesla [13][14][35] - BYD's sales in the UK nearly quintupled last year, with over 51,400 new cars sold, while MG, owned by China's SAIC Motor Corp., sold more than 85,000 new cars [14][35] - The absence of punitive tariffs on Chinese electric vehicles in the UK has contributed to this growth, contrasting with the US and EU markets [13][35] Group 3: Consumer Sentiment and Market Trends - British consumers are increasingly open to Chinese products, with a notable rise in the acceptance of affordable options from brands like Xiaomi alongside established names like Apple and Samsung [19][20][22] - Recent polling indicates a warming public opinion towards China, with the percentage of respondents viewing China as a friend or friendly rival increasing from 19% to 27% [23][22] - The UK market is characterized by consumers seeking high-quality and value-for-money products, making it an attractive environment for emerging Chinese brands [19][20]