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BEIJING, Aug. 20 (Xinhua) -- Serbian President Boris Tadic on Thursday pledged to promote economic and trade ties with China, welcoming Chinese investment.     Serbia wanted to maintain high-level political ties with China and enhance economic exchanges and cooperation, said Tadic at a business forum held by the China Council for the Promotion of International Trade (CCPIT). Chinese President Hu Jintao (L) welcomes visiting Serbian President Boris Tadic in Beijing, capital of China, on Aug. 20, 2009Serbia has signed free trade agreements with the European Union, Russia, Belarus, Turkey and the eight countries of South Eastern Europe (SEE), giving Serbia access to a free trade market covering 800 million people, he said.     "The security of foreign investments is guaranteed by the Serbian government," Tadic said.     Chinese telecommunications equipment providers Huawei and ZTE were among the foreign investment successes, he said.     Serbian Deputy Prime Minister Mladjan Dinkic briefed Chinese companies on Serbia's transport facilities, tax and preferential policies for companies in the information, telecommunications and electronics sectors.     "Serbia has noticed the exponential growth and the export potential of Chinese high-tech companies, and especially welcomes Chinese investments from areas of telecommunication, electronic and automobile industries," Dinkic said.     China-Serbia trade volume surged from 9 million U.S. dollars in 1994 to 460 million U.S. dollars last year, said Dong Songgen, vice chairman of the CCPIT.     The participants at the forum were mainly Chinese industries in the energy, construction, finance, medicine, consulting, agriculture and textiles sectors.     Tadic arrived in Beijing early Wednesday for a week-long state visit as a guest of President Hu Jintao. It is the first official visit by a Serbian head of state since Serbia became an independent state in 2006.

PYONGYANG, Sept. 25 (Xinhua) -- Chinese living in the Democratic People's Republic of Korea (DPRK) on Friday expressed willingness to help boost bilateral ties at a reception in the Chinese embassy to Pyongyang.     The reception was held to mark the 60th anniversary of the founding of the People's Republic of China.     A powerful and prosperous motherland is a powerful backing for the Chinese in the DPRK, said Liang Zuojun, vice president of the Central Committee of the Federation of the Chinese Residing in the DPRK. Chinese Embassador Liu Xiaoming (front, R) presents a gift to an oversea Chinese teacher at a reception held by the Chinese Embassy to mark the 60th anniversary of the founding of the People's Republic of China in Pyongyang, capital of the Democratic People's Republic of Korea (DPRK), Sept. 25, 2009He said all Chinese in the DPRK will live harmoniously with local residents and make efforts for the enhancement of the China-DPRK relationship, and the construction of both countries.     Liu Xiaoming, the Chinese ambassador to the DPRK, said the Chinese in the DPRK have devoted their wisdom to the socialism construction of the DPRK, and have won the respect and praise of the DPRK government and people.     He encouraged the Chinese to continue to support the construction and reunification cause of their motherland China.

BEIJING, Oct. 15 (Xinhua) -- The National Development and Reform Commission (NDRC) will mainly redress production overcapacity in six sectors, said Chen Bin, director of the Department of Industry of the NDRC, Thursday.     The six sectors include steel, cement, plate glass, coal-chemical industry, polycrystalline silicon and windpower equipment.     The NDRC also warns of obvious production overcapacity in sectors like electrolytic aluminum, ship manufacturing and soybean oil extraction, said Chen during an on-line interview on www.gov.cn., the website of China's central government.     He said China would fight serious overcapacity in sectors like steel industry and offer guidance for new-born industries like windpower equipment to avoid low level repetitive construction.     China has achieved preliminary progresses in fighting the global economic downturn, but the foundation for economic recovery is not stable yet and overcapacity might lead to bankruptcy, unemployment and bad bank loans if it was not checked in time, he said.

NEW DELHI, Aug. 8 (Xinhua) -- The 13th China-India Boundary Talks were held on Friday and Saturday in the Indian capital.     Chinese Special Representative, State Councilor Dai Bingguo and Indian Special Representative, National Security Advisor to the Prime Minister M.K. Narayanan exchanged in-depth views about relevant issues in an atmosphere of frankness and friendliness. Chinese State Councilor Dai Bingguo (R), special representative of China in the China-India Boundary Talks, shakes hands with Indian special representative, National Security Advisor to the Prime Minister M. K. Narayanan, in New Delhi, on Aug. 7, 2009. The 13th round of China-India Boundary Talks kicked off here on Friday.Dai also met with Sonia Gandhi, Chairperson of the Indian Congress Party and Prime Minister Manmohan Singh during his visit in India.     Both sides agreed to press ahead with the framework negotiations in accordance with the agreed political parameters and guiding principle so as to seek for a fair and reasonable solution acceptable to both countries. Prior to that, both sides should work together to maintain peace and tranquility in the border areas. Chinese State Councilor Dai Bingguo (L, front) meets with Indian Prime Minister Manmohan Singh in New Delhi, India, Aug. 8, 2009. Dai is Chinese special representative here attending the 13th meeting of special representatives of China and Indian on the boundary issue.During the talks, the two sides exchanged in-depth views on the further development of China-India Strategic Cooperative Partnership, as well as regional, international and global issues of mutual interest.     The Chinese side pointed out that the Chinese Government and people value the strategic and cooperative partnership between China and India, the largest two developing nations with a combined population accounting for 40 percent of the world's total. Indian Congress Party President Sonia Gandhi (R) shakes hands with Chinese State Councilor Dai Bingguo in New Delhi, capital of India, Aug. 7, 2009Friendly co-existence, mutual beneficial cooperation and shared progress between the two neighbors will contribute not only to the people of the two countries but also Asia and the whole world.     The Chinese side also emphasized that China and India have no other option than living in peace and developing side by side. China stands firmly committed to working with India to press ahead with the bilateral ties.     The Chinese side expressed belief that both countries need to promote the relationship with a higher and strategic perspective and continue to uphold the Five Principles of Peaceful Coexistence. China and India should endeavor to build the strategic mutual trust. Both need to expand the common interests and cooperation bilaterally and on regional and global affairs. Representatives of the two sides attend the China-India Boundary Talks in New Delhi, India, on Aug. 7, 2009.Both countries should take concrete steps to enhance people-to-people and cultural interactions so as to nurture the mutual understanding and friendship between the two peoples, according to the Chinese delegation.     As for the questions left over from history, China believes the two countries should work to seek for a fair and reasonable mutually acceptable solution through peaceful and friendly negotiations. Chinese representatives attend the China-India Boundary Talks in New Delhi, on Aug. 7, 2009.For the future development of the bilateral ties, the Chinese side made the following suggestions:     -- The two countries need to maintain the momentum of high-level exchanges, well celebrate the 60th anniversary marking the establishment of the diplomatic relations between the two countries, especially the China Festival and India Festival in each other's country in 2010;     -- Both countries should strengthen mutually beneficial cooperation in the economic field and trade, fully tap the potential for cooperation and properly handle frictions and questions thereof and stand side by side against trade protectionism so as to ensure the sustained and healthy development of bilateral economic ties.     -- The two neighbors should enhance people-to-people and cultural exchanges, those between the youth, academic institutions, media and localities in particular, and deepen defense cooperation and continue the defense and security talks.     -- China and India should also intensify the coordination and cooperation on major international issues, especially the global efforts in response to world financial crisis, climate change, energy and food security so as to promote evolution of international system that is in favor of developing nations.     The two sides also exchange views on the situation in South and Northeast Asia.

HONG KONG, Sept. 28 (Xinhua) -- The launch of Renminbi sovereign bonds in Hong Kong on Monday shows China's efforts to boost the international use of the yuan step by step, officials and analysts said.     The bond issue, worth only 6 billion yuan (878.5 million U.S. dollars), marked a key milestone in the internationalization of the RMB.     Hong Kong was chosen for, and will benefit from, the milestone bond sale thanks to its unique position as the international financial center providing desired cushion against the potential risks when the program was launched, analysts said.          BOOSTING INTERNATIONAL USE OF RMB     The bond issue in Hong Kong came earlier than expected, said Hu Yifan, an economist with CITIC Securities.     "The need for the RMB to go international and convertible has been growing along with the increasing importance and openness of the Chinese mainland economy and the risks arising from over- reliance on the United States dollar as the reserve currency," said Tse Kwok-leung, head of economic research of Bank of China ( Hong Kong) Limited.     China has been launching pilot RMB programs over the years, but the pace has obviously quickened since the onset of the global financial crisis. Pilot RMB programs launched in Hong Kong over the past 12 months also included yuan-denominated cross-border trade settlement and trade financing, yuan bonds issued by policy banks, commercial lenders and the branches of foreign banks, and currency swaps.     The sovereign bond issue would help "boost the international use of the RMB in a steady and orderly manner," the Chinese Ministry of Finance quoted Acting Chief Executive of the Hong Kong Special Administrative Region (HKSAR) Henry Tang as saying.     The sovereign bond sale in Hong Kong serves the purpose of water testing to "see how it is received by international investors." Hong Kong has a unique strength in that it provides the desired cushion against potential risks when the pilot programs were launched, given that the mainland capital market was yet to open up, Tse said.          BOOSTING NASCENT BOND MARKET IN HONG KONG     The bond issue ahead of the Chinese National Day showed the central government's support for Hong Kong, Vice Minister of Finance Li Yong said.     It will help Hong Kong build on its strength as an international financial center by boosting the nascent bond market in Hong Kong, Tse Kwok-leung said.     "It calls for a banking system, a stock market and a bond market, all developed, to make a developed international financial center," Tse explained.     Hong Kong has been aspiring to be the leading international financial center in the Asian time zone.     Government statistics showed that the total assets of Hong Kong's banking system and the size of its stock market were both about six times its gross domestic product, compared with a bond market equivalent to 43 percent of its gross domestic product.     Bonds issued in Hong Kong in 2008 totaled 424.4 billion HK dollars (54.4 billion U.S. dollars), with 67 percent issued by the Hong Kong Foreign Exchange Fund, which was established to defend the Hong Kong dollar peg to the U.S. dollar.     The other 33 percent were accounted for by development banks from outside Hong Kong and corporate bonds issued by local players. There were no sovereign bonds.     Tse said the bond issue will also help improve the liquidity of, and diversify, the local bond market. It will also improve the operation of the RMB bond market in Hong Kong by helping find the benchmark interest rate in the local market.     Tse said the demand for sovereign bonds issued by an economy as strong as the Chinese mainland was huge, given the impact of the global financial crisis on the corporate bond market.     Vice Minister of Finance Li Yong also said he believed the bonds will be well received.     "I believe the RMB sovereign bonds will prove popular with investors looking for safe and prudent investments. I definitely think it will be successful," Li said.

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