China says it 'deeply regrets' Russia’s war in Ukraine in latest sign Beijing's support of Putin is cracking
China's foreign minister spoke with his Ukrainian counterpart on Tuesday and called for a resolution to the crisis through negotiation, Chinese state media said, as Beijing treads a difficult diplomatic line on the invasion.
Foreign Minister Wang Yi told Dmytro Kuleba that Beijing 'deeply regrets that conflict has broken out between Ukraine and Russia, and is paying extreme attention to the harm suffered by civilians', state broadcaster CCTV reported, adding that Wang called for the two countries to 'find a way to resolve the issue through negotiations'. China has found itself walking a diplomatic tightrope after Russia's full-scale invasion of Ukraine took many in Beijing by surprise.
It was reported over the weekend that several Chinese public banks are limiting financing to purchase raw materials from Russia for fear of Western sanctions should they be seen to be supporting the Kremlin.
About 30 percent of oil and gas produced in Russia now sold to China.
Putin is relying on his ties to China's Xi Jinping to bail him out of the increasingly tough sanctions being put on Moscow by Western nations as the invasion escalates.
On February 26, China, India and the UAE abstained from voting on a UN Security Council resolution condemning Russia's illegal invasion of Ukraine.
The vote was seen as another sign of the widening of the diplomatic split between the West and the East over Putin's aggression.
However, China's decision not to fully veto the motion - as Russia did - will come as a blow to the Russian dictator, who is growing increasingly isolated.
China has found itself walking a diplomatic tightrope after Russia's full-scale invasion of Ukraine took many in Beijing by apparent surprise. Picturd: Chinese President Xi Jinping, right, and Russian President Vladimir Putin talk during a meeting in Beijing, February 4, 2022
China's UN Ambassador Zhang Jun addresses the United Nations Security Council, Friday, Feb. 25, 2022. Last night, China, India and the UAE abstained from voting on a UN Security Council resolution condemning Russia's illegal invasion of UkraineLate on Friday in New York, China abstained from voting on a draft UN Security Council resolution that would have deplored Moscow's invasion of Ukraine.
The abstention, seen as a win by Western countries, was secured after a two-hour delay for last minute negotiations by the United States and others to secure China's abstention, diplomats said.
Only last month, President Xi marked 30 years of ties with Ukraine, hailing the 'deepening political mutual trust' between them.
Ukraine is a hub in the Belt and Road Initiative, a sprawling infrastructure and diplomatic undertaking that binds China closer with Europe.
In a call on Friday, Xi told Putin that China 'respects the sovereignty and territorial integrity of all nations' and called for negotiations to calm the crisis.
Now, according to Bloomberg, at least two of China's largest state-owned banks - ICBC and Bank of China - are restricting the purchase of Russian commodities.The decision was taken for fear that allowing funding could be perceived as support for Moscow's invasion and risk sanctions from the United States and its allies, the US news agency said, citing unidentified sources.
Bloomberg said the move may only be temporary.
ICBC is the world's largest bank by assets, while Bank of China is the country's largest commercial bank for currency trading.
US sanctions could potentially deprive them of access to the dollar.
China is walking a diplomatic tightrope over the Ukraine conflict.
It does not want to directly oppose its ally Russia, but also fears western sanctions.
China has continued to denounce sanctions against Russia and blamed the US and its allies for provoking Moscow. Beijing, worried about American power in Asia, has increasingly aligned its foreign policy with Russia to challenge the West.
While visiting Beijing for the Winter Olympics earlier in February, Putin signed important agreements with his Chinese counterpart Xi Jinping.
Pictured: The Bank of China is seen in London (file photo). The bank was one of two Chinese state-backed banks to limit finance for raw materials from Russia for fear of sanctions
Late on Friday in New York, China abstained from voting on a draft UN Security Council resolution that would have deplored Moscow's invasion of Ukraine. The abstention, seen as a win by Western countries, was secured after a two-hour delay for last minute negotiations by the United States and others to secure China's abstention, diplomats said
The two countries notably agreed to strengthen their cooperation in the financial sector and on the supply of gas.
But while Beijing has not condemned the invasion of Ukraine, it has also stopped short of outright support.
China abstained on Friday's United Nations resolution condemning Russia's 'aggression' against Ukraine and demanding the immediate withdrawal of its troops, which Russia vetoed.
On Saturday the Chinese embassy in Ukraine advised its citizens to 'refrain... from displaying signs of identification', just days after telling those leaving Kyiv to clearly fix a Chinese flag to their vehicles.
China and Russia have strengthened their ties considerably since Moscow's 2014 annexation of Crimea and subsequent Western sanctions.
To power its growth, the Asian giant has also increased its purchases of Russian commodities, with about 30 percent of Russian oil and gas now sold to China.
Western countries have announced a barrage of sanctions on Russia, including blacklisting its banks and banning technology exports. But they have stopped short of forcing it out of the SWIFT system for international bank payments.
The deputy head of Russia's Security Council, Dmitry Medvedev said today Moscow will respond symetrically to the seizure of money of Russian citizens and companies abroad by seizing the funds of foreigners in Russia.
While visiting Beijing for the Winter Olympics earlier in February (pictured watching the opening ceremony, Feb 4), Putin signed agreements with his Chinese counterpart Xi Jinping
A view shows an apartment building damaged by recent shelling in Kyiv, Ukraine on Saturday morning. Russia's attack on Ukraine, which China refuses to condemn or even call an invasion, has sent Beijing into a diplomatic scramble
A Ukrainian soldier walks past debris of a burning military truck, on a street in Kyiv, Ukraine, Saturday, February 26, 2022
Russia's attack on Ukraine, which China refuses to condemn or even call an invasion, has sent Beijing into a diplomatic scramble to limit blowback while standing by a partner with which it has grown increasingly close in opposition to the West.
China has repeatedly called for dialogue, with Foreign Minister Wang Yi telling senior European officials in a flurry of telephone calls on Friday that China respects countries' sovereignty, including Ukraine's, but that Russia's concerns about NATO's eastward expansion should be properly addressed.
After one call between Russian President Vladimir Putin and Chinese counterpart Xi Jinping, China said Putin was willing to engage in 'high-level' dialogue with Ukraine and the Kremlin later said Putin was ready to send a delegation to Minsk for talks with representatives of Ukraine.
The diplomatic overture follows an invasion some diplomats in Beijing believe came as a surprise to China, which did not tell its citizens to leave Ukraine ahead of time and which had repeatedly accused the United States of hyping the threat of a Russian attack.
Millions on China's social media platform Weibo discussed the invasion after it began on Friday, and coined a new phrase - Wu Xin Gong Zuo - which describes those so concerned with the unfolding crisis they were unable to concentrate on their work.
This week Beijing, which bristles at criticism of its stance on Ukraine, would not directly address whether Putin told China he was planning to invade, saying Russia as an independent power did not need China's consent.
China's foreign policy is based on non-interference in the affairs of other countries, and it has yet to recognise Russia's claim to the Crimea region of Ukraine after its 2014 invasion.
'Their first reaction of denying there was an invasion was surprising to us,' said a Western diplomat in Beijing who declined to be identified, given the sensitivity of the matter.
'It is a total contradiction with their long-standing positions on sovereignty, territorial integrity, non-interference.'
Three weeks ago, Putin met Xi hours before the start of the Winter Olympics in Beijing and they signed a wide-ranging strategic partnership aimed at countering U.S. influence and said they would have 'no 'forbidden' areas of cooperation'.
The attack on Ukraine, which counts China as its largest trading partner with two-way commerce totalling $19 billion and with which it had cordial diplomatic ties, came days after the Olympics ended.
'My sense is that their initial instinct was to follow the 2014 post-annexation of Crimea playbook which worked quite well for them, where they managed to basically stay out of the fray and fade a little bit into the back,' said Helena Legarda, lead analyst at the Mercator Institute for China Studies, in Germany.
Legarda said there was more geopolitical competition now than in 2014 and more scrutiny of China.
'People are watching a lot more carefully, and that 'We're not going to take sides, and we're going to fade into the background', is no longer a viable option,' she said.
Beijing's relations with the United States have been deteriorating for years, and its diplomatic support for Russia could accelerate a decline in ties with western Europe, China's biggest export market, some analysts say, though others believe China has preserved room for manoeuver.
'We understand Russia, but we also have our own consideration,' said Yang Cheng, a professor at Shanghai International Studies University, one of those to express surprise at Russia's attack.
'But it wouldn't be the case whereby our relations with the West will not be impacted at all.'
The Ukraine crisis creates uncertainty for China during a year in which it craves stability, with Xi expected to secure an unprecedented third leadership term in the autumn.
'This is a very unfavourable situation that an unprepared China has been dragged into by Russia,' said Wu Qiang, an independent Beijing-based political analyst.
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