Paradigm shift in China-France economic and trade cooperation

Editor's note: Yang Chengyu is an associate research fellow at the Center for Promotion of Cultural Development of Chinese Academy of Social Sciences. The article reflects the author's opinions and not necessarily the views of CGTN.

During French President Macron's state visit to China, both countries have placed economic and trade cooperation at the heart of the agenda, undoubtedly injecting new momentum into the transformation and upgrading of bilateral economic and trade partnerships.

In recent years, the economic and trade cooperation between China and France has shifted from "traditional complementarity" to "innovation-powered symbiosis". Building on stable cooperation in traditional goods trade, the two countries have actively worked to co-build an innovation-driven and mutually reinforcing value chain, presenting the world with a new paradigm of major-power economic and trade cooperation.

For years, China and France have engaged in mutually beneficial economic and trade cooperation, creating reciprocal strengths in "resources, markets, technology, and manufacturing" that have formed the basic framework for collaboration across a wide range of sectors. In agricultural trade, high-quality French products such as wine, cheese, and meat continue to flow into the Chinese consumer market, supported by stable demand from China's large population and its shift toward higher-end consumption. In the luxury sector, French brands such as LVMH, Hermès, and Kering have accelerated their expansion in China. In high-end equipment, China has long procured Airbus aircraft and introduced French nuclear power equipment, achieving complementarity between infrastructure construction and the supply of advanced equipment.

Amid the high-tech and intelligent transformation of global industrial chains, China-France economic and trade cooperation has moved beyond the limits of traditional trade and is evolving toward a deeply integrated model of innovation-powered value-chain symbiosis.

Firstly, trade-based cooperation is upgrading toward coordinated R&D and manufacturing. The launch of Airbus's second single-aisle aircraft final assembly line in Tianjin signals a shift from the traditional "procurement–supply" model to a new stage of "joint manufacturing–collaborative R&D". The establishment of the Tianjin R&D Center will not only enhance standardization and process management in China-France aerospace manufacturing but also align Chinese and European manufacturing standards. This will elevate the cooperation from "trade" to "R&D and standards," fostering deep coordination in the mid-to-upper segments of the value chain.

Secondly, energy cooperation is extending toward ecosystem co-building. Deepening collaboration in fields such as climate change and biodiversity protection is a key pillar underpinning China-France cooperation. In recent years, bilateral energy cooperation aimed at low-carbon transition has expanded from cooperation on individual products to co-building an industrial ecosystem. Envision AESC's Douai battery gigafactory has commenced production, providing high-performance batteries for European automakers such as Renault and creating more than 2,500 green jobs. Cooperation between BYD and Schneider Electric on smart energy, together with the coordination mechanism of "industrial-chain manufacturing capacity + hydrogen-energy R&D expertise" proposed at the fourth China-France Energy Dialogue, has further strengthened a cross-border industrial ecosystem in the energy sector.

Thirdly, the two countries are jointly formulating governance rules for artificial intelligence to achieve technological inclusiveness. In the field of AI governance, China and France aim to overcome the "technological hegemony" of any single country and build a fair and transparent regulatory framework. Dassault Systèmes has deepened its engagement in the Chinese market, carrying out joint R&D across product lines such as 3D CAD, simulation, and electrical systems, thereby advancing the co-building of industrial software standards. The new pathway of "cross-border industrial scenario platforms, joint R&D, and shared standards" proposed at the 9th China-France Young Leaders Forum in June offers a viable path for international cooperation in AI. It also provides an insightful reference for Global South countries seeking to dismantle technological blockades and pursue shared modernization.

The meetings between the Chinese and French heads of state, characterized by their high political significance, have undoubtedly injected fresh momentum into bilateral economic and trade cooperation. The paradigm shift in China-France economic and trade cooperation carries global implications. Unlike traditional trade logic, the model of innovation-powered symbiosis between the two countries is grounded in each other's comparative advantages and powered by technological innovation. Through deep value-chain integration, it will generate outcomes greater than the sum of its parts. This equal and mutually beneficial model for cooperation enriches the concept of a new type of major-power relationship and offers Global South countries a paradigm of major-power economic and trade cooperation that goes beyond zero-sum thinking and supports a shared path toward modernization.