Growth, Cooperation And Prosperity

By YAN WEI

Growth, Cooperation And Prosperity

By YAN WEI

Chinese Vice President Xi Jinping’s four-nation tour in Asia-Pacific cements ties

Chinese Vice President Xi Jinping called for strengthened economic, political and cultural ties with Bangladesh, Laos, New Zealand and Australia during his visits to these countries from June 14-24.

In a speech at a trade forum in Canberra, Xi suggested China and Australia deepen cooperation in energy and resources. The two countries’ governments and companies should work together to build “long-term and stable”relations for trade and investment in these felds.

Australia is the biggest exporter of iron ore, alumina, coal and liquefed natural gas to China. China, for its part, is Australia’s biggest trade partner and biggest export market as well as its biggest source of imports, providing the South Pacific nation with a wide range of products including textiles, home appliances, furniture and toys.

Trade between China and Australia jumped to $60.08 billion in 2009 from more than $10 billion in 2002, registering an average annual increase of more than 28 percent, say China’s offcial statistics. Despite the impact of the global fnancial crisis, Australia’s exports to China soared 31 percent in 2009 over the previous year.

Mutual investment has become an emerging area of economic cooperation between the two countries, Xi said. Australia’s investment in China totaled $6.3 billion by April this year, while China’s direct investment in Australia amounted to nearly $6 billion.

Given the thriving business ties, Xi urged forging ahead with negotiations to create a free trade area as soon as possible. The two countries started talks on a free trade agreement in 2005 after Australia recognized China’s full market economy status.

They should also explore new opportunities in environmentally friendly industries such as sewage and garbage treatment, air cleaning and clean energy, Xi said.

While in New Zealand, the Chinese vice president said the countries’ bilateral relationship is at its “best time in history,”characterized by frequent contacts between the two countries’ top leaders and enhanced mutual political trust.

NEW INITIATIVE: Chinese Vice President Xi Jinping inaugurates Australia’s first Chinese Medicine Confucius Institute at the Royal Melbourne Institute of Technology (RMIT) in Melbourne on June 20, along with RMIT President Margaret Gardner. The institute aims to promote Chinese language and culture studies, with a focus on traditional Chinese medicine

Remarkable progress has been made in trade relations since the signing of the China-New Zealand free trade agreement in October 2008. It was the first free trade agreement between China and a developed country.

With the free trade agreement in place, the two countries have cut tariffs on goods, expanded trade in services and made their investment environment more standardized and transparent. Despite the global economic downturn, two-way trade between China and New Zealand increased 3.6 percent in 2009 over the previous year.

By the end of last year, New Zealand’s investment in China exceeded $900 million, while China’s investment in New Zealand reached $82.06 million.

From January to May this year, bilateral trade increased 47.9 percent year on year. Of this, China’s exports to New Zealand reached $940 million, up 25.8 percent, while its imports totaled $1.54 billion, up 65.6 percent.

These growing fgures have made China New Zealand’s second biggest trade partner, third biggest export market and second biggest source of imports. It is also the biggest buyer of New Zealand’s dairy products.

Growing bilateral relations could have implications for the entire Asia-Pacific region, Xi said. China and New Zealand should strengthen coordination in the World Trade Organization, the Asia-Pacific Economic Cooperation forum and the East Asia Summit in a bid to promote establishment of a more equitable international economic order.

During Xi’s visit to Laos, 18 agreements were signed covering assistance and cooperation in trade, infrastructure construction, fnance, power generation and power grid renovation.

China and Laos, the latter being a member of the Association of Southeast Asian Nations (ASEAN), should also boost trade by making full use of the China-ASEAN free trade area inaugurated in January this year, Xi said.

On relations with Bangladesh, Xi told the country’s Prime Minister Sheikh Hasina China and Bangladesh should expand cooperation in trade, water resource management, food control and agriculture.

China will continue to provide assistance to Bangladesh, one of the “least developed countries” recognized by the UN. It will also encourage Chinese companies to invest in the South Asian nation.

To cement their cultural bonds, the two countries should support efforts to foster sister city relations by their cities, while strengthening exchanges between young people, Xi said.

China is also willing to work with Bangladesh to promote regional integration in South Asia. They will cooperate in dealing with global challenges such as the fnancial crisis, climate change, energy security and food security.

(Source: China’s offcial statistics)