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British Prime Minister, Xi Jinping Hail Growing Sino-UK Ties, Highlighting Nuclear Deal as `Flagship of Cooperation’

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EIRNS —British Prime Minister David Cameron hailed the growing ties between China and the United Kingdom, during Chinese President Xi Jinping’s official visit. The highlight of the visit seems to primarily be in the economic field with the signing of nearly £40 billion in deals.

Speaking at the U.K.-China Business Summit at London’s Mansion House on Oct. 21, Cameron said, "The deals that have been done during this visit cement what is a growing partnership. This visit is taking our relationship to the next level, and I want to ensure that our cooperation and partnership means we can support each other to deliver the growth and the jobs that we both want — to make sure that the trade and investment flows both ways along the modern equivalent of the Silk Road."

In his remarks, President Xi pointed to the tremendous potential for expanding bilateral trade, given that China is expected to import around $10 trillion worth of goods and invest more than $500 billion overseas over the next five years. He called for the two countries to "deepen mutual trust" and to "synergize" development strategies. He also stressed, "We are deeply impressed by the strong will and positive stance of the U.K. to grow relations and cooperation with China."

Among the deals signed is one with Rolls-Royce worth £1.4 billion, to design new jet engines, which will involve Chinese apprentices. Two other deals involve: a £2.6 billion contract with Carnival, the cruise ship operator, to build new ships, and a £1.7 billion deal with Chinese developer Advanced Business Park to redevelop a 35-acre site in Liverpool and create up to 30,000 jobs.

At the top of the list is the deal to build the £18 billion, 3.2-GW Hinkley Point nuclear power station, which Xi hailed as a "flagship project of cooperation" during a joint press conference with Cameron. The deal that allows the project to go forward was signed in front of Cameron and Xi.

According to the Guardian, work on the project will begin within a matter of weeks. The state-owned China General Nuclear Power Group (CGN) has agreed to take a 33.5% holding, with the French energy company, EDF, taking the rest. This will be the first nuclear power station built in the U.K. in the last two decades; it should be completed by 2025.

Preliminary agreements were also signed for two more nuclear power stations: Sizewell C in Suffolk and Bradwell in Essex, with the latter using Chinese technology.

EDF chairman Jean-Bernard Lévy said that workers will be at the site by the end of the year, and that the project would eventually involve about 5,600 people, including a small number of Chinese workers involved in planning, engineering, and project
management. He also underscored that this was the first new order for a nuclear power station in the Western Hemisphere since the Fukushima accident in March 2011.