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BEIJING, Oct. 26 (Xinhua) -- China's economy was on sound track but prospects were complicated by the world economic slowdown, said Zhou Xiaochuan, governor of China's central bank, on Sunday.     In a report Zhou made to the fifth session of the Standing Committee of the 11th National People's Congress (NPC), he said the country's economy was developing as expected, but the world economic slowdown added uncertainties to its prospect.     "Our economy is highly reliant on overseas demand. Slacking exports resulted from the global economic slowdown would have a negative impact on the economy," he said.     He suggested the country need to be cautious in adjusting policies because there are both possibilities of cost-driven price rises and possibilities of continuous price falls in the future.     "Currently, inflation pressure mainly comes from rising cost," he said.     He said in the world, more and more economies began to shift their policies from curbing inflation to boosting economic developments amid a world economic recession. The international commodity price is expected to enter a new round of rise.     According to him, the PBOC will adopt flexible and prudent macro-control policies to strive for the stability of the country's financial sectors and promote sound and rapid economic growth.     Zhou said efforts would go to other specific fields, including establishing financial risk monitoring mechanism, enhancing cooperation among domestic and overseas financial organs, and ensuring liquidity in the banking system.     He also urged strengthening foreign exchange management through enhancing cross-border capital flow management and supervision, in a bid to avoid losses and risk caused by speculation activities.     The central bank would keep a close look over the real estate sector and improve financial services in this sector, he added.     Zhou said that the impact of the world financial crisis on China's economy cannot be underestimated. However, the country's economic situation is sound as a whole, and is capable to effectively resist the external impact.     China's financial sectors have grown stronger after years of development. The profit-earning and risk-resistance abilities have been greatly improved, market liquidity is sufficient, and the financial system is sound and safe, he explained.     The fifth session of the Standing Committee of the 11th National People's Congress (NPC) opened its second plenary meeting Sunday morning. Wu Bangguo, chairman of the Standing Committee of the NPC, attended the meeting.

BEIJING, Oct. 18 (Xinhua) -- China's quality watchdog said on Saturday the latest tests on Chinese milk powder found no trace of melamine.     It was the seventh round of tests for the industrial chemical since the report of the tainted baby formula scandal that left at least three infants dead and sickened more than 50,000 others, according to the General Administration of Quality Supervision, Inspection and Quarantine.     The tests covered 105 batches of baby formula from 20 brands in 10 provinces and 161 batches of other milk powder from 52 brands in 15 provinces, the agency said.     So far, 804 batches of baby formula from 66 brands and 1,126 batches of other milk powder from 161 brands produced after Sept. 14 have been tested and none contained melamine.     Earlier on Friday, the agency said the 12th round of tests found that Chinese liquid dairy products met the new temporary restrictions on melamine.     So far, the quality watchdog had conducted sample tests on 5,797 batches of liquid dairy products manufactured after Sept. 14from 136 brands and found all safely under the limit.     Last week, the government set temporary melamine content limits in dairy products of a maximum of 1 mg per kg of infant formula and a maximum 2.5 mg per kg for liquid milk, milk powder and food products that contained at least 15 percent milk.     Melamine, often used in the manufacturing of plastics, was added to sub-standard or diluted milk to make the protein levels appear higher.

BEIJING, Jan. 22 (Xinhua) -- China's economy cooled to its slowest pace in seven years in 2008, expanding 9 percent year-on-year as the widening global financial crisis continued to affect the world's fastest-growing economy, official data showed Thursday.     Gross domestic product (GDP) reached 30.067 trillion yuan (4.4216 trillion U.S. dollars) in 2008, Ma Jiantang, director of the National Bureau of Statistics (NBS), told a press conference.     The 9-percent rate was the lowest since 2001, when an annual rate of 8.3 percent was recorded, and it was the first time China's GDP growth fell into the single-digit range since 2003.     The year-on-year growth rate for the fourth quarter slid to 6.8 percent from 9 percent in the third quarter and 9.9 percent for the first three quarters, according to Ma. Graphics shows China's gross domestic product (GDP) in the year of 2008, released by the National Bureau of Statistics (NBS) on Jan. 22, 2009. China's GDP reached 30.067 trillion yuan (4.4216 trillion U.S. dollars) in 2008, expanding 9 percent year-on-year.    Economic growth showed "an obvious correction" last year, but the full-year performance was still better than other countries affected by the global financial crisis, said Zhang Liqun, a researcher with the Development Research Center of the State Council, or cabinet.     He attributed the fourth-quarter weakness to reduced industrial output as inventories piled up amid sharply lower foreign demand.     Exports, which accounted for about one-third of GDP, fell 2.8 percent year-on-year to 111.16 billion U.S. dollars in December. Exports declined 2.2 percent in November from a year earlier.     Industrial output rose 12.9 percent year-on-year in 2008, down 5.6 percentage points from the previous year, said Ma.     SEEKING THE BOTTOM     Government economist Wang Xiaoguang said the 6.8-percent growth rate in the fourth quarter was not a sign of a "hard landing," just a necessary "adjustment" from previous rapid expansion.     "This round of downward adjustment won't bottom out in just a year or several quarters but might last two or three years, which is a normal situation," he said.     A report Thursday from London-based Standard Chartered Bank called the 6.8-percent growth in the fourth quarter "respectable" but said the data overall presented "a batch of mixed signals."     It said: "We probably saw zero real growth in the fourth quarter compared with the third quarter, and it could have been marginally negative."     The weakening economy has already had an impact on several Chinese industrial giants. Angang Steel Co. Ltd. (Ansteel), one of the top three steel producers, said Wednesday net profit fell 55 percent last year as steel prices plunged. It cited weakening demand late in the year.     However, officials and analysts said some positive signs surfaced in December, which they said indicated China could recover before other countries.     December figures on money supply, consumption, and industrial output showed some "positive changes" but whether they represented a trend was unclear, said Ma.     Outstanding local currency loans for December expanded by 771.8 billion yuan, up 723.3 billion from a year earlier, according to official data.     Real retail sales growth in December accelerated 0.8 percentage points from November to 17.4 percent. Industrial output also accelerated in December, up 0.3 percentage points from the annual rate of November.     Wang Qing, Morgan Stanley Asia chief economist for China, said GDP growth would hit a trough in the first or second quarter. China will perform better than most economies affected by the global crisis and gradually improve this year, he said.     Zhang also predicted the economy will touch bottom and start to recover later this year, depending on the performance in January and February.     Zhang forecast GDP growth of more than 8 percent for 2009, based on the assumption that domestic demand and accelerating urbanization would help cushion China from world economic conditions.     Wang Tongsan, an economist with the Chinese Academy of Social Sciences, said whether GDP growth exceeds 8 percent this year depends on how the world economy performs and how well the government stimulus policies are implemented.     Ma characterized the "difficulties" China experienced in the fourth quarter as temporary, saying: "We should have the confidence to be the first country out of the crisis."     Overall, the economy maintained good momentum with fast growth, stable prices, optimized structures and improved living standards, said Ma.     China's performance was better than the average growth of 3.7 percent for the world economy last year, 1.4 percent for developed countries and 6.6 percent for developing and emerging economies, he said, citing estimates of the International Monetary Fund.     "With a 9-percent rate, China actually contributed more than 20 percent of global economic growth in 2008," said Ma.     He said the industrial structure became "more balanced" last year, with faster growth of investment and industrial output in the less-developed central and western regions than in the eastern areas.     Meanwhile, energy efficiency improved: energy intensity, the amount of energy it takes to produce a unit of GDP, fell 4.21 percent year-on-year in 2008, a larger decrease than the 3.66 percent recorded in 2007, said Ma.     WORRIES ABOUT CONSUMPTION     A slowing economy poses a concern for the authorities, which they have acknowledged several times in recent weeks, as rising unemployment could threaten social stability. It could also undermine consumer spending, which the government is counting on to offset weak external demand.     The government has maintained a target of 8 percent annual economic growth since 2005.     China announced a 4 trillion-yuan economic stimulus package in November aimed at boosting domestic demand.     Retail sales rose 21.6 percent in 2008, 4.8 percentage points more than in 2007, said Ma.     Ma said he believed domestic consumption would maintain rapid growth as long as personal incomes continue to increase and social security benefits improve.     Urban disposable incomes rose a real 8.4 percent last year, while those of rural Chinese went up 8 percent, he said.     Analysts have warned that consumption could be affected if low rates of inflation deteriorate into outright deflation and factory closures result in more jobless migrant workers.     The urban unemployment rate rose to 4.2 percent at the end of 2008, up 0.2 percentage point year-on-year.     Ma said about 5 percent of 130 million migrant workers had returned to their rural homes since late 2008 because their employers closed down or suspended production. Other officials have said that 6.5 percent or even 10 percent of migrant workers have gone home after losing their jobs.

UNITED NATIONS, Dec. 9 (Xinhua) -- China on Tuesday called on the international community to continue to strengthen multilateral counter-terrorism cooperation within the UN framework.     China's UN Ambassador Zhang Yesui made the appeal at the thematic debate of the UN Security Council on threats to international peace and security caused by terrorists.     "Recently, a series of alarming acts of terror occurred in such places as Mumbai, resulting in heavy casualties of innocent people. The Chinese delegation expresses its deep condolences to the victims," Zhang told the council.     "These cruel realities remind us once again that terrorism still remains a potent threat to peace and security of international community," he said.     The Security Council, as the core of the international collective security machinery, should play an important role in international fight against terrorism, he said.     "Terrorism is the common threat facing the international community and it is imperative to continue to step up the multilateral counter terrorism cooperation within the UN framework," he said.     China believes that all UN bodies should pay attention to both stepping up counter-terrorism measures and removing the root causes that give rise to terrorism, he said.     "The member states are the real owners in the implementation of all UN counter-terrorism resolutions," the Chinese envoy said. "Their will and capacity in counter-terrorism determines the implementation of those resolutions."     "However, limited resources and inadequate counter-terrorism capacities have led to the inability of many countries, especially the developing countries to honor fully their counter-terrorism obligations, and thus limited seriously the international community's achievements in the struggle against terrorism," he stressed.     China hopes that the international community will pay greater attention to the capacity-building in counter-terrorism and invest more resources to help the developing countries with counter-terrorism assistance that meets their actual needs and help them improve expeditiously capabilities so that the effective implementation of all UN counter-terrorism resolutions will have a firm basis, he added.

BEIJING, Nov. 7 (Xinhua) -- The pursuit of harmony is a basic value and the fundamental spirit of Chinese culture, State Councilor Liu Yandong told representatives of the 2008 Beijing Forum on Friday.     More than 300 scholars from more than 40 countries participated in the forum, with the theme "The Harmony of Civilization and Prosperity for All-The Universal Value and the Development Trend of Civilization."     Liu congratulated the forum, saying its theme was highly significant.     She said the concept of harmony had become a key criterion in many types of relations: among peoples, between individuals and society, among nationalities and states, among cultures and between humans and nature.     "It is especially important for academic and educational institutions to promote multinational cultural communication under globalization," said Liu.     Co-sponsored by Peking University, the Beijing Municipal Commission of Education and the Korea Foundation for Advanced Studies, the Beijing Forum 2008 -- the fifth such annual meeting -- convened on Nov. 7. The forum will focus on the environment, the Olympic spirit and the global financial crisis.