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Li Keqiang's speech at 6th China-ASEAN Summit
(Xinhua)
Updated: 2009-10-21 13:29

Following is the translated version of the full text of Chinese Vice Premier Li Keqiang's speech delivered Tuesday at the opening ceremony of the sixth China-ASEAN Business and Investment Summit in the south China city of Nanning.

Honorable Prime Minister Bouasone Bouphavanh,

Distinguished guests,

Ladies and Gentlemen,

Friends,

The sixth China-ASEAN Expo has just opened together with the grand China-ASEAN Business and Investment Summit. The summit took "China-ASEAN Free Trade Area and ASEAN Integration: Co-together" as its theme, showing the willingness and determination of both China and ASEAN to jointly promote economic integration, cope with the financial crisis, and boost economic development and prosperity. On behalf of the Chinese government, I hereby express my sincere congratulations to the opening of the Summit, and extend warm welcome to ASEAN state leaders and all the distinguished guests attending the summit.

China and ASEAN countries are geographical neighbors and culturally connected with a long history of friendly contacts. In recent years, the two sides have been deepening cooperation in various fields and successfully developing the good-neighborly relations. Economic and trade cooperation has been an important cornerstone for the China-ASEAN Strategic Partnership, which has led to rich fruits. Ever since the construction of China-ASEAN Free Trade Area started in 2002, trade and investment between China and ASEAN have seen rapid expansion and deepening economic connections. Currently, the two sides are each other's fourth biggest trade partners. In the face of the global financial crisis, the two sides had seen bilateral trade volume nearing $150 billion and mutual investment reaching $60 billion in the first nine months of this year. The economic and trade cooperation between China and ASEAN has entered a new stage.

In the past year, the world economy has faced the severe challenge of the financial crisis. The Chinese government rolled out a stimulus package to solve the crisis and lift its economy, while ASEAN countries have also adopted a series of stimulating measures. China has established a $10 billion China-ASEAN Investment Cooperation Fund that would provide $15 billion of credit to ASEAN countries in the next three to five years. China has also signed currency swap agreements with Indonesia and Malaysia and started cross-border yuan settlement services on a trial basis. China and ASEAN countries have joined hands to strengthen cooperation and made initial achievements in combating the crisis. Currently, the overall situation of China's economy is good and China is witnessing rising economic growth on a monthly basis; ASEAN members had also reined in economic downturn, as some of their key economic gauges have started to recover. The positive changes in the economies of both China and ASEAN members were benefited from their effective coping measures and stimulus packages, while the closer economic cooperation has also been an important support.

Ladies and gentlemen!

China and ASEAN countries hold a population of 1.9 billion, which accounts for one third of the world population, and a combined GDP of $6 trillion, accounting for one ninth of the world's total. The China-ASEAN FTA, located between the Pacific Ocean and the Indian Ocean, is the world's biggest FTA in terms of population, an important channel for international trade, an energy corridor and an economic bond. It plays a very important role in the world economic structure. As significant emerging powers in the global economic system, China and ASEAN countries have seen rapid economic development and become one of the most vigorous economies. Also, China and most of the ASEAN countries are going through the process of industrialization and urbanization with huge market space and potential in growth, indicating broad prospects in cooperation.

After ten years of unremitting efforts, the China-ASEAN Free Trade Area (CAFTA) will be established as planned on Jan 1, 2010.By then, zero-tariff treatment will be realized for 90 percent of the products traded between China and ASEAN countries, while the service trade market between the two sides will be opened in a substantial way. This is a significant milestone in regional economic cooperation, which marks that trade ties between China and ASEAN are to enter a new stage. We should further promote mutual economic and trade cooperation to a deeper level, as well as make joint efforts to boost the liberalization and facilitation of trade and investment. We firmly oppose trade and investment protectionism in any form, so as to advance global economic recovery and sustainable prosperity.

Globally, the world economy is experiencing great changes and the international financial and economic order is going through major reforms. Changes in energy and grain markets have drawn world attention and dealing with climate change has become a hot topic. The imbalanced development of the world, especially the imbalanced development between developing countries and their developed counterparts needs to be altered.

We should continue to see fighting the international financial crisis as the top task on the basis of the current situation, maintain the continuity and stability of the economic policies, and enhance pertinence, effectiveness and sustainability of such policies to ensure a fast and steady economic development and revive the world economy.

At the same time, we should be far sighted and get prepared for future changes in the post-crisis period or even after that. We should push forward economic transformation and create new development mode to realize a comprehensive, continuous and balanced economic development. As the free trade area will be completed soon, China and ASEAN should seize the opportunity and expand and deepen economic and trade cooperation and boost their economies in a healthier and more sustainable manner. Here, I would like to make three proposals:

First, to deepen trade cooperation in an all-round manner. The two sides should put into concrete practice the preferential policies of the free trade agreement in accordance with the achieved agreement of trade and service. On which basis we should further study and complete policies conducive to easier market access and market liberalization, and provide sufficient legal protection to offer enterprises more opportunities for further development, so as to boost economy and improve people's livelihood. The China-ASEAN Custom-Trade Cooperation Forum will beheld this afternoon, where relevant parties should step up dialogue on intensifying cooperation, simplifying procedures and enhancing publicizing efforts, so as to put measures for trade convenience and liberalization into concrete practice.

Second, to prominently intensify investment cooperation. Economies of China and the ASEAN member states are complementary, with respective advantages in productive resources. Intensifying bilateral and multilateral investment cooperation will help optimize allocation of regional resources. Compared with trade exchanges, investment cooperation is apparently inadequate. There are both the necessity and potential for further expanding cooperation between China and ASEAN.

The China-ASEAN Investment Agreement has become operational and China encourages domestic enterprises to establish several economic and trade cooperation zones in the ASEAN countries to promote collective investment, fuel regional economy and contribute to the local society. Meanwhile, China welcomes enterprises from ASEAN to invest in China. Both sides should provide support to construction of roads, railways, waterways and improvement of communication as the infrastructure construction are of great importance to mutual exchanges. The two sides should bring their advantages into play and further strengthen investment cooperation on agriculture, resources exploitation and emerging industries. More attention should be paid to the construction of livelihood projects, stimulate trade with investment and promote development with consumption, so as to achieve mutual benefits and win-win results.

Third, to further step up sub-regional cooperation. Pushing forward sub-regional cooperation can better bring the geographical advantages into play and boost regional development. China will actively back the economic integration of the ASEAN countries and encourage enterprises to increase cooperation in East ASEAN Growth Area, Greater Mekong Subregion and Pan Beibu Gulf, so as to make them new highlights of cooperation.

Guangxi, as an important platform and window for exchanges and cooperation between China and ASEAN, recorded remarkable social and economic achievements, helped by the country's western development program. Currently, to open and develop Guangxi Beibu Gulf has become a national strategy, and Guangxi's economy maintains sound development. Looking into the future, China will firmly push forward and enhance development in the western region. China welcomes more enterprises from ASEAN to invest in Guangxi and west China for mutual development.

Related readings:
Li Keqiang's speech at 6th China-ASEAN Summit China-ASEAN Expo to open in S China, embracing upcoming FTA
Li Keqiang's speech at 6th China-ASEAN Summit China to advance financial co-op with ASEAN
Li Keqiang's speech at 6th China-ASEAN Summit China, ASEAN to enhance agricultural cooperation
Li Keqiang's speech at 6th China-ASEAN Summit ASEAN optimistic on trade with China

Ladies and gentlemen!

The Expo and the Summit have been held for six consecutive years, with consistent supports from state leaders and active participation of commercial and industrial circles. It illustrates that the Expo and the Summit have made practical achievements.

I hope all the entrepreneurs, experts and officials will make full use of the platform to thoroughly discuss development and widely seek cooperation opportunities, as well as contact old friends and make new friends, in joint efforts for mutual cooperation and common progress of China and ASEAN countries.


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