Chinese Minister of Foreign Trade and Economic Cooperation Shi Guangsheng Tuesday made a six-point proposal which he hopes will increase trade and economic cooperation with the European Union (EU).

The minister made the proposal during the 17th session of the China-EU Mixed Committee on Trade and Economic Cooperation, which he co-chaired with Trade Commissioner of the European Commission Pascal Lamy.

The six-point proposal reads as follows:

-- As China is about to join the World Trade Organization (WTO) soon, the two sides should develop WTO rules-based cooperative relations in areas of trade, investment, and technology.

-- To expand trade in every possible area, and open their markets to each other, thus creating a favorable environment for trade and economic cooperation.

-- To speed up cooperation in the high-tech sector and increase technology trade between the two.

-- To vigorously advance cooperation among small and medium-sized enterprises along with the larger ones.

-- China welcomes the EU's continuous investment in China's western region.

-- To give full play to the coordinating role of the China-EU Mixed Committee on Trade and Economic Cooperation.

Shi said the frequent visits between Chinese and EU leaders have favored the development of bilateral trade and economic relations. The agreement reached between China and the EU in May this year on China's accession to the WTO, in particular, has strongly pushed forward Sino-EU cooperation in trade and economic sectors.

The EU is presently China's third largest trade and investment partner. Trade and economic cooperation with the EU has constituted a major component of China's current foreign trade.

Chinese statistics show that the China-EU trade volume totaled 104.5 billion U.S. dollars in 1998 and 1999, up 26.4 percent from that of the 1996-1997 period.

In the last two years, the EU funded 1,871 projects in China, bringing an actual input of 8.77 billion U.S. dollars in foreign capital, up 26.9 percent from the 1996-1997 period.

In addition, the past two years saw a number of EU technologies introduced into China. They involved 16.29 billion U.S. dollars in contractual value, an increase of 35.1 percent from the previous two years put together.

Shi urged the EU to loosen its restrictions on China's exports,including irrational anti-dumping investigations and unilateral limitations on the quantity of some Europe-bound Chinese commodities.

Lamy said the EU attaches importance to its relations with China, and will continue to implement the cooperative partnership with China by establishing long-term, stable and sound economic and trade relations.

(People’s Daily 10/24/2000)