Geraldine McCafferty delivers a speech at a forum during the 2023 China International Fair for Trade in Services (CIFTIS) held in Beijing from September 2 to 6. (PHOTO: CCG)

By GONG Qian

“The UK does not believe in the narrative of decoupling [from China]. We think that trade is a good thing,” Geraldine McCafferty, deputy head of mission at the British embassy in Beijing, said at a forum co-hosted by “Two Zones” (Integrated National Demonstration Zone for Opening Up the Service Sector and China (Beijing) Pilot Free Trade Zone) and Center for China & Globalization, during the 2023 China International Fair for Trade in Services (CIFTIS) held in Beijing from September 2 to 6.

This year’s CIFTIS  is especially important as the UK had the privilege of being the guest country of honor, said McCafferty. The UK had a largest business delegation to China in over four years with more than 60 companies and organizations actively participating in CIFTIS and making policy dialogues with their Chinese partners.

CIFTIS presents the UK with the opportunity to deepen bilateral trade relationships, said McCafferty. A positive trade relationship brings benefits to both countries and the rest of the world. She said China is already the UK's fourth largest trading partner with bilateral trade worth over 100 billion GBP last year. 

 “China is an ever expanding market and international businesses can play an important role in supporting China's economic objectives. The more we reform and open up our economies, the better it is for global prosperity,” said McCafferty.

In her speech, McCafferty highly appreciated Beijing's “Two Zones” initiative and hoped it would be a significant role model in opening up and boosting trade with UK.

The “Two Zones” initiative was proposed in 2020, namely a national integrated demonstration zone for greater openness in the services sector, and a pilot free trade zone characterizing scientific and technological innovation, opening-up of the services sector, and digital economy, according to the government of Beijing municipality. The initiative offers preferential policies for both foreign and domestic investors in sectors such as sci-tech, culture, entertainment, finance, tourism and healthcare.

McCafferty also said that both countries benefit from the services sector. The service industries accounted for 79 percent of total UK economic output but trade and services are underrepresented in the UK’s trading relationship with China, said McCafferty.  

Education is one of the key areas in service sector where both countries could work together. Recently, many British schools have signed memoranda of understanding with Chinese institutions to expand their collaboration, said McCafferty.

“I firmly believe that there are many more mutually beneficial opportunities in the services sector,” said McCafferty.