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with Eastern Europe, which culminated in visits to China
by the Polish and East German leaders. In March 1987,
Foreign Minister Wu Xueqian visited Czechoslavakia,
Poland and Bulgaria, the first visit by a Chinese Foreign
Minister since the establishment of diplomatic relations
immediately after liberation in 1949. China's previous
attempts to achieve better relations with East Europe
foundered on her poor relations with the USSR. However,
the Soviet Union now appears to support closer ties
between Eastern Europe and China in order to facilitate
an improvement in relations between Moscow and Peking.
5. China has also been actively seeking closer bilateral
relations with West European countries and encourages a
greater sense of European identity. China has developed
extensive relations with all West European countries,
including those of the EC, both individually
and as a group. China sees Europe as an important
counter-balance to the superpowers, and as an alternative
source of technology to the US and Japan. Trade with
Western Europe is growing steadily but remains in
Europe's favour: about 7% of Chinese exports are to the
EC, while the EC provides about 15% of China's imports.
China accounts for only 0.5% of EC imports. In 1986, in
terms of total trade the FRG was China's principal
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CONFIDENTIAL
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