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WASHINGTON - US Treasury Secretary Henry Paulson will visit China's largest lake next week on a trip that will highlight global environmental challenges. Treasury Secretary Henry Paulson speaks during an interview with Reuters in Washington July 2, 2007. [AP]Paulson will also hold talks in Beijing with President Hu Jintao that will focus on the Strategic Economic Dialogue, high-level discussions launched last year in an effort to deal with economic tensions between the US and China. "This trip is part of an ongoing process to strengthen our strategic economic relationship - to address long-term issues such as working with China to rebalance its growth and increase the flexibility of its currency and also to address short-term issues as they arise," Paulson said Tuesday in announcing the trip. Paulson will begin the trip with a visit July 30 to Qinghai Lake, the largest lake in the country and an example of some of the environmental challenges facing China as it struggles to deal with pollution. "The only way to make progress on climate change is to engage all the large economies, developed and developing, to work toward embracing cleaner technology and reducing emissions," Paulson said. "What's happening with the environment in the middle of China not only affects the local climate and economy but also the global climate and economy." Paulson will meet on July 31 in Beijing with Hu and Vice Premier Wu Yi, who is leading the Chinese side in the strategic dialogue talks. The administration is coming under pressure from Congress to show results from these discussions, particularly in the area of currency values. American manufacturers contend that the yuan is undervalued by as much as 40 percent, which makes Chinese products cheaper for US consumers but makes it more difficult for US products to be sold in China. The first strategic dialogue session was held in Beijing last December with a follow-up meeting in Washington in May. The two countries have pledged to meet twice a year with the next session to take place in China later this year. An exact date has not yet been announced. The Treasury Department said in a statement announcing the trip that Paulson in his meetings with Chinese leaders would raise issues of concern to Congress as well as follow up on issues that were identified as priority items at the May meeting of the strategic dialogue. US lawmakers have grown increasingly unhappy as America's trade deficit with China has soared, hitting 3 billion last year, the largest ever recorded with a single country and one-third of the US total deficit with the rest of the world. Various bills have been introduced that would require the administration to take a harder line on the currency issue including pursuing economic sanctions if China does not move more quickly to allow its currency to rise in value against the dollar. China has reiterated that it does not manipulate its currency and the currency reforms are moving as quickly as the developing economy and financial system will allow.

BEIJING - China's quality control watchdog has rejected a Hong Kong media report which alleged the mainland had exported hairy crabs containing carcinogens to Taiwan, confirming that the mainland had not exported any hairy crabs to Taiwan so far this year."The mainland's quarantine authorities have not approved the exports as the two sides are still in talks about quarantine standards," said a spokesman with the General Administration of Quality Supervision, Inspection and Quarantine (GAQSIQ ).Hairy crabs, mainly bred in East China's Jiangsu Province, have become a popular autumn delicacy in the mainland and have sold well in Taiwan, Hong Kong, Singapore, Japan and the United States.But in August the Taiwan authorities published new standards requiring the crabs to contain no detectable drug residues, despite an agreement met with the mainland in July."The new standards are too picky and have no scientific grounds, nor do they comply with the WTO rules," said the GAQSIQ spokesman."We have noticed that a group in Taiwan is trying to discredit mainland food products. Such politically driven acts will harm normal trade across the Taiwan Strait," said Li Weiyi, spokesman for the Taiwan Affairs Office of the State Council earlier this week.Official figures show more than 99 percent of the Chinese foods exported to the United States, the European Union and Japan were up to standard in the first half of the year.China's number one hairy crab exporter, Wuzhong District of Suzhou City, Jiangsu Province, sold 1,800 tons of hairy crabs abroad over the last two years.

YANGJIANG, Guangdong Province -- A Chinese salvage team is getting ready to recover the wreckage of an ancient merchant ship loaded with exquisite porcelain from the South China sea on Saturday."If the weather is cooperative, the boat, which has been in the sea for about 800 years, will see the light of day again two days later," said Wu Jiancheng, head of the excavation project.Photo taken on Dec. 20 shows the interior of "Crystal Palace," a glass pool that will be used to put the ancient merchant ship Nanhai No. 1 after its wreckage is recovered from the South China sea on Saturday, Dec. 22. [Xinhua]According to Wu, the excavation is scheduled to begin at 10 am and the ship is expected to be hoisted out of water in two hours.The ship dates back to the early Southern Song Dynasty (1127-1279) and is 30.4 meters long and 9.8 meters wide. It was the first ancient vessel discovered on the "Marine Silk Road" of the South China Sea. It was named Nanhai No. 1, meaning "South China Sea No.1."Wu said, Nanhai No. 1 left port in southern China to trade with foreign countries and sank probably due to stormy waves. It was quickly buried by silt. It was estimated there were probably 60,000 to 80,000 relics on board.To better protect the precious relics and gain valuable information, archaeologists launched an unprecedented operation in early May to raise the wreck and the surrounding silt in a huge steel basket.According to the plan, a crane would first put the basket onto a barge. Tow boats would then pull the barge to a temporary port on Sunday where the basket would be sent to a specially-built museum.In order to avoid damage to the relics caused by a change of environment and pressure, the ancient ship would be put in a huge glass pool. There, the water temperature, pressure and other environmental conditions would be the same as the sea bed where the ship lay.The pool, named "Crystal Palace" is 64 meters long, 40 meters wide and 23 meters high. It contains seawater and is about 12 meters in depth."It will be sealed after the ship and the silt are put in," said Feng Shaowen, head of the cultural bureau of Yangjiang City, Guangdong Province.Feng said visitors would be able watch the on-going excavation of the ship through windows on two sides of the pool.As early as 2,000 years ago, ancient Chinese traders began taking china, silk and cloth textiles and other commodities to foreign countries along the trading route. It started from ports at today's Guangdong and Fujian provinces to countries in southeast Asia, Africa and Europe.Nanhai No.1, accidentally found in 1987, was located some 20 sea miles west of Hailing Island of Yangjiang City in South China's Guangdong Province, in more than 20 meters of water.Green glazed porcelain plates, tin pots, shadowy blue porcelains and other rare antiques have all been found during the initial exploration of the ship.Guangdong has earmarked 150 million yuan (US.3 million) to build a "Marine Silk Road Museum" to preserve the salvaged ancient ship.Unlike the traditional practice of excavating relics on sunken ships first and then salvaging the vessel, no more relic excavations would be made until the boat "gets used to its new home," said Wu."Actually, archaeologists will conduct thorough excavations of the ship later in the pool."It is believed that a successful salvage would offer important material evidence for the study of China's history in seafaring, shipbuilding and ceramics manufacture.

SHANGHAI, March 5 (Xinhua) -- A traditional commodity fair in east China, conventionally regarded as a barometer of the nation's foreign trade, reported less demands from American businessmen than expected, indicating a possible slowdown of Sino-U.S. trade.     The 18th East China Commodity Fair, an event held at the beginning of every year, reported around 1,600 American businessmen, far less than expected.     "The number of the American businessmen to the fair was only two thirds of those from the European Union, showing the deficient domestic demands of the United States," said Wang Qingjiang, an official with the fair.     "The subprime crisis in the United States has shown its influence on China's exports," he added.     The 5-day fair registered total business deals worth 583 million U.S. dollars between Chinese companies and the U.S. businessmen, a 1.5 percent dip from last year.     Deals worth more than 3.67 billion U.S. dollars were signed at the fair, a 3.52 percent growth from 2007.     Deals between Chinese companies and the European Union businessmen added up to 879 million U.S. dollars, a 9.5 percent growth compared with the last fair.     Chinese companies and the Japanese businessmen made deals worth906 million U.S. dollars, almost the same amount compared with last year.     The fair attracted more than 19,000 businessmen from 145 countries and regions around the world, with more than 60 percent from Asia.     According to experts, the fair could indicate the trend in China's foreign trade in 2008.

HANGZHOU - Nineteen people are missing with only one rescued after a Liberian ship collided with a fishing boat in the East China Sea on Saturday night, said the Zhejiang Maritime Affairs Bureau on Sunday.A spokesman with the bureau said that the Liberian ship, "Formosa 10", collided with the fishing boat about 11:40 pm in the sea off the eastern Zhejiang Province, on its way from Taiwan to the Republic of Korea.The fishing boat, with 20 people on board, capsized."Most of the missing people are local fishermen and the others are from the neighboring provinces," said the spokesman.The provincial search and rescue center sent more than ten searching boats to the scene immediately and a helicopter arrived to assist in the operation around 6:45 am on Sunday.More than 20 fishing boats also participated in the rescue work."The visibility at the sea is favorable but the temperature of the sea water is very low. Usually, it's hard for people to survive more than 12 hours in such cold water," rescuers said.