China Wants More Investment from French Firms, Xi Tells Macron

China's President Xi Jinping (L) arrives for the APEC Economic Leaders' Retreat, during the annual Asia-Pacific Economic Cooperation conference at the Moscone West Convention Center in San Francisco, California, USA, 17 November 2023. (EPA)
China's President Xi Jinping (L) arrives for the APEC Economic Leaders' Retreat, during the annual Asia-Pacific Economic Cooperation conference at the Moscone West Convention Center in San Francisco, California, USA, 17 November 2023. (EPA)
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China Wants More Investment from French Firms, Xi Tells Macron

China's President Xi Jinping (L) arrives for the APEC Economic Leaders' Retreat, during the annual Asia-Pacific Economic Cooperation conference at the Moscone West Convention Center in San Francisco, California, USA, 17 November 2023. (EPA)
China's President Xi Jinping (L) arrives for the APEC Economic Leaders' Retreat, during the annual Asia-Pacific Economic Cooperation conference at the Moscone West Convention Center in San Francisco, California, USA, 17 November 2023. (EPA)

China wants more French companies to invest in the country and hopes France will provide a fair business environment for Chinese firms, President Xi Jinping said on Monday, while France also called for fair rules for foreign companies in China.

Xi made the comments in a phone call with French President Emmanuel Macron, Chinese state television reported, seeking to strengthen ties with its European trading partner after Macron visited China in April.

China faces an electric vehicle subsidy investigation by the European Union and a looming probe into its steelmakers. Meanwhile, several European countries have complained about China's opaque laws and rules regarding foreign companies in the country.

"China is willing to maintain high-level exchanges with the French side," Xi said, adding that he welcomed more French products entering the Chinese market.

Macron's office said the opening of the Chinese market should go hand-in-hand with fair competition rules for foreign companies.

Asked whether France had made progress to counter Chinese plans to force French cosmetics companies to share manufacturing secrets with Chinese parties, a French presidential adviser said it was a major issue that Macron had raised himself.

"It's an important point for us, considering what's at stake for French companies," the adviser said.

Macron's office also said China had joined a French initiative called "Buildings Breakthrough" that sets a zero carbon emissions goal for the building sector for 2030.

Xi also said China was willing to strengthen cooperation with France at the United Nations and other multilateral institutions. China took over the presidency of the UN Security Council (UNSC) this month.

The leader of the world's second-largest economy also called on France to play a constructive role in promoting the positive development of China-EU relations, as ties have been strained over issues ranging from the EU's push to reduce supply chain reliance on China to the war in Ukraine.

"China and the European Union should remain partners for mutually beneficial cooperation," Xi said in the call.

The two leaders also exchanged views on the conflict in Gaza, and agreed that it was imperative to avoid a further deterioration of the situation, in particular an even more serious humanitarian crisis, state television reported.

The French presidential adviser said China, as a member of the UN Security Council, should contribute more to UNRWA, the UN Palestinian refugee agency than the $1 million it currently gives every year.

"We encourage the Chinese authorities to do much more," the adviser said.



Gold Edges Up as Investors Seek Fed Clues from US Data

FILE PHOTO: A woman picks a gold earring at a jewelry shop in the old quarters of Delhi, India, May 24, 2023. REUTERS/Anushree Fadnavis/File Photo
FILE PHOTO: A woman picks a gold earring at a jewelry shop in the old quarters of Delhi, India, May 24, 2023. REUTERS/Anushree Fadnavis/File Photo
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Gold Edges Up as Investors Seek Fed Clues from US Data

FILE PHOTO: A woman picks a gold earring at a jewelry shop in the old quarters of Delhi, India, May 24, 2023. REUTERS/Anushree Fadnavis/File Photo
FILE PHOTO: A woman picks a gold earring at a jewelry shop in the old quarters of Delhi, India, May 24, 2023. REUTERS/Anushree Fadnavis/File Photo

Gold prices edged higher on Tuesday, supported by US rate cut bets and geopolitical concerns, while the focus shifted to economic data due this week for clues into the Federal Reserve's interest rate path.
Spot gold was up 0.1% at $2,640.65 per ounce, as of 0810 GMT, after falling by as much as 1% on Monday. US gold futures were 0.2% higher at $2,663.40, Reuters reported.
US data this week includes the job openings due later on Tuesday, the ADP employment report on Wednesday, and the payrolls report on Friday.
"The next big thing is going to be the payrolls on Friday night because it'll tell us whether the Fed is essentially going to green-light the interest rate cut in a couple of weeks," said Kyle Rodda, financial market analyst at Capital.com.
Fed Governor Christopher Waller on Monday said, with inflation still forecast to fall to 2%, he is inclined "at present" to support another rate cut later this month.
The comments boosted expectations of a rate cut at the Fed's Dec. 17-18 meeting to nearly 75% compared from 66% a day before.
"It seems we're just oscillating in one place until a new trigger emerges," said Ilya Spivak, head of global macro at Tastylive.
Non-yielding gold tends to thrive in a low-interest-rate environment and during periods of geopolitical turmoil.
Driving tensions in the Middle East, the Israeli military targeted dozens of Hezbollah positions across Lebanon on Monday.
Elsewhere, spot silver gained 1.3% to $30.89 per ounce, platinum added 0.6% to $952.18 and palladium rose 1% to $991.21.