China urges US, Israel to stop military action in Middle East, warns of ‘vicious cycle’
By Xiuhao Chen and Liz Lee
BEIJING, March 23 (Reuters) – China on Monday called on all parties in the Middle East conflict, especially the United States and Israel, to halt their military operations, warning of what analysts said would be a “vicious cycle” in the war; If this situation persists for a long time, it could undermine global growth and weaken demand for Chinese exports.
“The person who ties the bell should be the one to untie it,” Zhai Jun, China’s special envoy to the Middle East, said in a briefing after a shuttle diplomacy trip that included stops in Saudi Arabia, the United Arab Emirates and Kuwait.
In a separate briefing, foreign ministry spokesman Lin Jian warned that the use of force would only lead to a “vicious circle” and that war should not be initiated.
“If hostilities continue to spread and intensify, the entire region will be thrown into chaos,” he said.
LESSONS FROM HISTORY
“The lessons of the past are not far behind,” China’s foreign ministry said on Monday in response to Reuters commenting on last week’s anniversary of the Iraq War.
The statement said, “The war 23 years ago caused deep suffering to the Iraqi people and seriously affected the Middle East.”
Last Friday marked the 23rd anniversary of the Iraq War, in which US-led forces invaded the country in part to overthrow Saddam Hussein, claiming his government possessed weapons of mass destruction.
Although the regime quickly fell, Iraq was plunged into years of chaos and instability in a war estimated to have killed more than 100,000 people, cost the United States trillions of dollars and created a power vacuum that led to the rise of the Islamic State terrorist group.
“The war against Iran, after 23 years, has caused heavy losses to the Iranian people, and the spread and expansion of the conflict has also affected the entire region,” the ministry said. he said.
CHINA’S EXPORTS
Trump on Saturday gave Tehran a 48-hour deadline to reopen the Strait of Hormuz to all shipping and threatened to destroy Iranian power plants otherwise.
Iranian attacks have caused the worst oil crisis since the 1970s by effectively shutting down the main waterway that carries a fifth of global oil and liquefied natural gas.
Although Beijing has not detailed its concerns, a prolonged conflict could weigh on China’s export outlook.
Emerging markets, key drivers of China’s export growth, are particularly vulnerable due to limited oil reserves and vulnerability to rising energy costs.
“Weakening growth in China’s emerging market trading partners will likely put pressure on China’s exports to these countries in the coming quarters,” Goldman Sachs’ Hui Shan said in his report on near-term risks to the Chinese economy. he said.
China is in a relatively better position to absorb higher oil prices, with coal making up about 60% of its energy mix, large oil stocks, and imports through the Strait of Hormuz representing only 5% of total energy consumption.
Still, rising oil and gas prices could boost inflation and end producer price deflation, according to China’s chief economist.
The bank lowered its forecast for China’s second-quarter growth and raised its 2026 inflation outlook.
Asked whether China was pressuring Iran to ensure the safe passage of Chinese ships and oil shipments through the strait, foreign ministry spokesman Lin said Beijing was in communication with all parties and was determined to ease tensions.
(Reporting by Xiuhao Chen and Liz Lee; Additional reporting by Samuel Shen; Additional writing by Jessie Pang; Editing by Jacqueline Wong and Arun Koyyur)
