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SEOUL, May 28 (Xinhua) -- Seeking to increase cooperation and good neighborliness with South Korea, Chinese Premier Wen Jiabao on Friday started his three-day official visit to the country.TO SPEED UP ESTABLISHMENT OF FTAA key issue during the visit is to speed up the establishment of the free trade area (FTA) between the two nations.During a meeting with South Korean President Lee Myung-bak, the Chinese premier said that the FTA negotiations between China and South Korea could be launched later this year or early next year upon the completion of a feasibility study."When the joint feasibility study by the governments as well as industrial and academic circles is successfully completed, the two countries can inaugurate negotiations on the China-South Korea FTA in the second half of this year or the first half of next year," said Wen.Chinese Premier Wen Jiabao (L) shakes hands with South Korean President Lee Myung-bak during their meeting in Seoul May 28, 2010. Wen arrived in Seoul earlier Friday on his official visit to South Korea.After their talks, Wen and Lee also witnessed the signing of a series of cooperative documents, including a Memorandum of Understanding about the feasibility study of the China-South Korea free trade agreement.Earlier, Lee hosted a welcome ceremony for Wen's visit, and they held formal talks following more than one-hour smaller-group discussions.Wen highlighted the sound development of China-South Korea trade ties, urging the two countries to make joint efforts to overcome difficulties caused by the global financial crisis and promote bilateral cooperation to a new level.China and South Korea should strive to make bilateral trade volume meet the target of 200 billion U.S. dollars by 2012 and 300 billion U.S. dollars by 2015, said Wen.Wen also suggested that the two countries materialize mid- and long-term trade cooperation guidelines and explore new trade cooperative fields, deepen cooperation in areas like high technology and circular economy, combat trade protectionism, expand cultural and youth exchanges, step up coordination within the framework of the Group of 20 (G20) and promote reform of the international economic governance system to make it fairer and more rational."China supports South Korea's efforts for hosting the G20 summit in the second half of this year," said Wen.Wen and Lee agreed to further promote China-South Korea relations of strategic cooperation and partnership, which was established in 2008.China and South Korea, both important countries in East Asia, have extensive common interests, and China attaches importance to its relations with South Korea, hoping the two countries could enhance communication and cooperation in a bid to benefit the two peoples and promote peace and stability in the region, Wen said.The two countries have kept close cooperation in the process of tackling the global financial crisis and safeguarded common interests, Wen said.President Lee said South Korea and China are both engaged in the development of relations of strategic cooperation and partnership, and that cooperation between the two countries has registered rapid progress in various fields.The two countries, which have worked together to deal with the financial crisis and oppose trade protectionism, are maintaining the momentum of bilateral trade growth and are making important contribution to world's economic recovery, said Lee.He said South Korea is willing to work with China to keep high-level exchange and political dialogue, further improve bilateral trade, quicken FTA construction, and enhance cooperation in such areas as clean energy, environmental protection and the development of green economy.Lee said South Korea will coordinate with China in multilateral mechanisms like the G20.

BEIJING, April 1 (Xinhua) -- China's average daily stock trading volume at the Shanghai Stock Exchange shrank 35.2 percent month on month to 96.85 billion yuan (14.2 billion U.S. dollars) in February, the People's Bank of China (PBOC) said Thursday.China's stock market was closed from Feb. 13 to 19, for the Spring Festival, the most important Chinese traditional holiday.Analysts held that trading was normally bleak in the Spring Festival month, as some investors preferred to cash in profits before going back to hometowns for family gatherings and some were cautious before the release of new economic data after the holiday.The Spring Festival fell in January last year. The daily average stock turnover was down 3.38 billion yuan to 65.4 billion yuan in January 2009 compared with December 2008, according to the PBOC.The benchmark Shanghai Composite Index edged up 110.58 points from Feb. 1 to 3,051.94 points on Feb. 26 this year, the last trading day in the month, the central bank said in a financial market report released Thursday on its official website.China's financial market kept its smooth run in January and February, said the PBOC.The Shanghai Composite Index gained 1.23 percent, or 38.32 points, to end at 3,147.42 points Thursday. The turnover at the Shanghai Stock Exchange was 154 billion yuan, showing investors' heartened confidence in economic recovery.Thursday's official figures revealed that the Purchasing Managers' Index (PMI) for China's manufacturing sector stood at 55.1 percent in March, up 3.1 percentage points from February, the 13th straight month that the index was above 50 percent.

VANCOUVER, April 27 (Xinhua) -- Shanghai's upcoming hosting of the World Expo will be an "unforgettable experience" for local residents, leaving a lasting legacy of international trade that will be of benefit to everyone, according to a former Canadian politician.Grace McCarthy, the British Columbia tourism minister who was largely responsible for bringing the World Expo to Vancouver in 1986, said the hosting of the fair put the Canadian city on the global map, ultimately leading to its successful hosting of the Winter Olympics earlier this year.Now 82 and retired from politics, McCarthy, who heads the Vancouver-based Child Foundation charity which helps children with liver and intestinal disorders, said the spinoffs of the Shanghai expo would be vast, ranging from economic development for the city and the country as a whole, to improving the lives of local residents."Shanghai undoubtedly has strong local government with committees working night and day to make connections around the world. Those connections will pay off because they wouldn't even show up if they didn't plan to have a plant (they wanted built) or wanted to go and help rebuild that area that the expo site is on. There will be international trade which will be a benefit for everybody," she said."The opportunity now for Shanghai is the world gets to know the city, not as a land, but as the land of opportunity. Not as individuals who are hardworking, but individuals who want people to come and stay and live and contribute to the country. That's the essence of a world expo. People will see a very different Shanghai than what they have envisioned. It's a pure learning experience."With a theme of transport and communication, the Vancouver expo previewed a host of technologies that are now commonplace.Demonstrations of the internet were on display nearly a decade before it became commonplace, while inventor Arthur C. Clarke presided over a satellite dinner. With diners sitting in Canada, the famed author of 2001: A Space Odyssey chatted with those assembled via satellite from his Sri Lankan base.There was also a demonstration line of Vancouver's new transportation system with an overhead "Skytrain" moving passengers through the expo site. McCarthy said the Canadian-made system had drawn great interest from Singapore which was looking to improve its own rapid transit at the time. However, they ended up going with Japanese technology."It's that kind of interface and that kind of incentive that assist industry both in Canada and British Columbia. From that point of view it was super successful from educating young people about the world they live and making industrial and commercial contacts. At expos you always see futuristic things."That's what really makes an expo when you can showcase the world. It's a real learning experience for the country hosting. Children would come to expo and they would learn all about China, what they produced, what their educational system was like. Then they would go to another pavilion and find out more. It was a real learning experience because there was something for everyone at expo."McCarthy admits Vancouver's expo experience happened almost by accident. To celebrate the city's 100th anniversary in 1986, she got in contact with the Louvre art gallery in Paris to see about the possibility of touring the Mona Lisa across Canada, but little success. A chance meeting in London with Patrick Reid, who had overseen Canada's interest at six world expos, however, sealed the deal. With a reported budget of 800 million to 1 billion Canadian dollars, the fair was a great success in attracting more than 22 million visitors, but ultimately lost just over 300 million Canadian dollars.Despite the financial loss, McCarthy said the expo was beneficial for the psychology of the country that at the time was emerging from a prolonged recession. In addition, there was a sense of patriotism that swept over Canada."It was very beneficial for the psychology of the country and that's difficult to put dollars to. Everything is not all dollars, but everything in dollars is psychological because if you pour money into a party, an event or something, you can be super successful if you do it right. That's what we did."For a person who doesn't know Shanghai, this is a great learning experience for them. They'll see the excitement of the opportunities, the young people who have come to life in the city and are doing incredible things, they'll see all of that and their perception will change. That's worth an awful lot in the global picture."One area that benefited Vancouver tremendously following the fair was tourism. In 2008, tourism employed more than 131,000 people in the western province making it one of its largest sectors along with forestry, fishing and mining. It had 2008 revenues of more than 13.1 billion Canadian dollars, up 35 percent since 2002, according to Tourism BC statistics. "Expo provided us with a showcase to show the world and the world was very interested in seeing it. We had boom years for tourism after that ... afterwards, the people who came in droves and were interested in coming simply because of the media coverage that went all over the world," McCarthy said."When the whole thing finished the world did know about us. Someday they would like to come to British Columbia, Canada. That was kind of the mantra. And people did come in droves. Tourism was at its peak during those years."She adds, however, that the Shanghai organizer needed to recognize that "a country can't live on parties" alone, they also needed to be serious about the business end of it."The business end of it is just as much the hospitality plan quotient and the business plan quotient together."It is very important that countries envision what they want for the values of their people and what the people themselves want for a very good way of life."

BEIJING, May 21 (Xinhua) -- China's local governments should step up efforts to close 10 million kilowatts of outdated coal-fueled power station capacity this year, Chinese Vice Premier Li Keqiang said Friday.This year is crucial to completing the country's energy saving and emission reduction goals as set out in the Eleventh Five-Year Plan (from 2006 to 2010), Li said in a letter to a national work conference held in Beijing discussing the elimination of backward production capacity.Official figures show China's unit gross domestic product (GDP) energy consumption fell 14.38 percent during the first four years of the Eleventh Five-Year Plan. But efficiency has to improve if the nation is to meet the 20 percent target set for the five-year period."This move is conducive to optimizing the country's power structure, enhancing energy saving and reducing pollution," Li said.

BEIJING, March 31 -- The appointment of three new academic members to the central bank's monetary policy committee on Monday reflects the increasing inclusiveness of monetary policymaking, but may not have any apparent bearing on the timing of an interest rate hike, analysts said.The People's Bank of China (PBOC) said three Chinese economists - Xia Bin, Li Daokui and Zhou Qiren - will replace Fan Gang, the only academic member of the committee, which advises on major monetary issues."Adding two more academics to the monetary policy committee is a welcome change," said Wang Tao, head of China economic research at UBS Securities. "I hope this helps to increase healthy debate within the committee, and increase the independence of monetary policy.""The appointment of three academic members this time - instead of one - indicates the increasing importance of academic voices in monetary policymaking and the three, with different backgrounds, are expected to complement each other to add to the inclusiveness of the panel," said Sun Lijian, an economist with Fudan University. It would make the country's monetary decision-making more rational, he said.Going by their recent comments on inflation, with Li saying that China could precede the United States in raising the rates and Zhou urging a timely and firm exit from stimulus policies, it is speculated that their appointment may signal chances of an earlier rate hike.Zhou said in a February speech that it was high time that China exited from the stimulus measures. "Given the past experiences, the stimulus through expanding money supply and debt only has a short-term effect," he said in the speech.One of the side effects of the stimulus is rising inflation. "The price of the stimulus policies is mainly the adverse effect of the large-scale release of money on the overall market price situation," he said. "We have seen it on the market."Li said early this month once China's consumer price index (CPI), a major measure of inflation, rises 3 percent, the country is set to increase the rates. China's CPI rose by 2.7 percent year-on-year in February.He also said on Monday that China may suffer from exported inflation from developed economies as their continued relaxed monetary policy would lead to surging raw material prices and large-scale capital flowing into the emerging economies, including China.Meanwhile, China should keep itself alert against possible price rises due to weather changes, such as the recent severe drought in southwestern regions.Xia Bin said on Monday that three factors should be taken into account when deciding on whether to raise the interest rates. It should be considered if real negative deposit interest rates occurred. But if inflationary expectations are not strong, the hike would be inappropriate. Moreover, China should not move ahead of the US since it would bring in speculative capital.China's benchmark one-year deposit rate stands at 2.25 percent.Dong Xian'an, chief macroeconomic analyst of Industrial Securities, said economic fundamentals should be the paramount determinant in interest rate related policymaking and the appointment of a new monetary policymaking panel would not have any substantial bearing on the timing of the possible hike.The month-on-month CPI figure is a crucial factor and as it continues to rise, the hike may come in the second quarter of this year, he said.