Chancellor Rachel Reeves has defended her recent trip to China, saying that improving economic ties with the country is in the national interest. Despite soaring government borrowing costs, Reeves is keen to establish a long-term relationship with China. While in Beijing, Reeves met with Chinese Vice-Premier He Lifeng to discuss trade and investment opportunities. The UK Treasury said that agreements reached would be worth £600m to the UK over the next five years. The UK’s borrowing costs have hit a 16-year high and the pound has fallen, leading to criticism from the Conservative party. Reeves did, however, insist that she would not alter her economic plans. The UK is keen to deepen its co-operation with China in trade, financial services, investment and climate issues. The country is currently the UK’s fourth largest trading partner and exports to China supported 455,000 jobs in the UK in 2020. Following her return to the UK, Reeves will need to make “difficult decisions” on tax and spending.