The last EU-China summit was postponed in December for what Xinhua referred to as “well-known reasons,” namely Beijing's opposition to a meeting between Tibet's spiritual leader and the French President when France held the 27-nation bloc's rotating presidency.

China usually uses economic threats against countries that welcome the Tibet leader or give him a platform to “conspire” for Tibetan independence.

Sino-European relations were further damaged by the awarding of the Sacharov Prize to the Dalai Lama and for European criticism of China over Darfur.

Despite differences this time the current global economic crisis is driving Beijing and Brussels closer together. Trade is expected to dominate talks in Prague.

“Under the storm of the financial crisis, we all understand better that our cooperation means a lot to us and to the world,” China’s ambassador to the EU, Song Zhe, said.

In recent days Tibetan exiles have called on EU authorities to pressure Beijing on Tibetan rights. But this is not likely to happen this time for the sake of economic ties.

The European Union has become China’s top export market worth € 248 (US$ 340) billion. China’s is the EU’s second largest export market after the United States. Two-way trade between the two topped € 295 (US$ 400) billion last year.

Both sides reject protection as a way to fight the crisis. The wants China to allow European companies to be included in its stimulus plan; China wants Europe to limit curbs on high tech exports.

Similarly the European Union wants China to significantly reduce its carbon dioxide (CO2) emissions. In turn China wants Europe to help it find ways to generate clear power.

According to Xinhua, the development of new technologies for cleaner energy and lower levels of consumption is a common endeavour for both sides.