Truss Warns West Is Too Soft on Beijing, Calls for ‘Economic NATO’

Former UK Prime Minister Liz Truss speaks at CPAC Australia in Brisbane, Australia, on Oct. 5, 2024. Melanie Sun/The Epoch Times

BRISBANE, Australia—Former UK Prime Minister Liz Truss has warned democratic governments have been far too soft on the Chinese Communist Party, which she says is “actively seeking to undermine” overseas societies.

Truss made the comments to The Epoch Times in an exclusive interview on the sidelines of the Conservative Political Action Conference in Brisbane, Australia, on Oct. 5.

The former British leader said the most effective way to challenge the Chinese Communist Party (CCP) is in the economic realm.

“I’ve called for the idea of an ‘economic NATO,’ where countries like the U.S., the UK, and Australia work together to have a common economic policy towards China, to stop China undermining our industry, to stop exporting any technology that could be used against us. I think we need to get much tougher,” the former leader said.

She pointed to the free trade agreement known as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) as a bulwark against the CCP, which the United States and European Union could potentially also join.

Beijing has long expressed interest in joining the CPTPP, while democratic island Taiwan has also pushed hard to be admitted.

Beijing views Taiwan as part of its territory, a claim the democratically elected government of Taiwan vehemently denies.

The current Taiwanese government was established in 1949 following the defeat of the Nationalists in China by the CCP during the Chinese Civil War, who fled to Taiwan.

Meanwhile, Truss also expressed caution with the Australian Labor government’s approach towards Beijing, as summed up by Prime Minister Anthony Albanese in June: “We will cooperate with China where we can, disagree where we must, and engage in the national interest.”

Truss said this approach was not feasible.

“The Chinese Communist Party are actively opposed to the values that we believe in in countries like the UK and Australia, and what [the policy position] amounts to is appeasement for short term economic interests, as opposed to the long term interests of freedom. So I don’t support that,” she said.

Treasurer Jim Chalmers most recently visited China in late September to co-chair the Fourth Strategic Economic Dialogue, aimed at stimulating the Australia–China trade relationship.

The leaders pledged to share updates on the “latest developments in investment policies” amid an increasingly complex economic environment, as well as recognising the importance of “technical and policy exchanges” on climate change goals and investment in renewable energy.

Chalmers has expressed concerns that China’s recent internal economic struggles could see Australian export levels drop.

“Softer demand for iron ore, weighed down by the slowing China economy, is also a threat to the budget bottom line,” he said.

“In one of the Treasury’s scenarios, a faster fall in iron ore and metallurgical coal prices could cost the budget $4.5 billion.”

The push for ongoing economic engagement with China comes as the Australian federal budget faces its own challenges with ever increasing expenditure and slowing productivity.

The Labor government has worked to rein in the costs of major social welfare programs like the National Disability and Insurance Scheme (NDIS), which has not only grown dramatically in size but is also the largest source of job creation in the country.

Further, the Australian Bureau of Statistics also revealed that household expenditure in August remained largely flat, while September figures also showed the country was experiencing some of its slowest economic growth since the 1991–1992 financial year—growing just 0.2 percent.