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China warmly welcomes French President Nicolas Sarkozy on a state visit next month, which will "be a great event for China-France relations", Foreign Minister Yang Jiechi said at a joint press conference with his French counterpart Wednesday.Yang and French Foreign Minister Bernard Kouchner discussed the preparations for Sarkozy's visit, and agreed that it would definitely achieve great results.A lot of agreements will be inked between France and China during Sarkozy's visit in areas such as energy, transportation and education, Kouchner said.The French foreign minister is in China to pave the way for Sarkozy's visit, the first since he assumed presidency in May.During their talks, Yang said China is ready to go along with France to deepen strategic dialogue, expand mutually beneficial cooperation and have closer consultation and coordination on major international issues.The two foreign ministers agreed, as two of the five permanent members of the UN Security Council, to strengthen comprehensive strategic partnership for the benefit of both sides. Such a development will be beneficial to global peace, stability and development, too.On the development of ties between China and the European Union (EU), Yang said their relationship had matured after 30 years of cooperation."The two sides share broad common interests in intensifying mutual political trust, expanding economic and trade cooperation, jointly tackling the challenges of climate change and combating traditional and non-traditional security threat," Yang said.Kouchner ensured Yang that France would double its efforts to solve the pending China-EU problems after his country assumed the rotating presidency of the EU in July 2008.On the Taiwan question, Kouchner said France follows the one-China policy. He said EU foreign policy chief Javier Solana had made a statement on behalf of EU countries opposing Taiwan authorities' attempt to hold a referendum to move the UN for membership. "France supports the position (of Solana)," Kouchner said.Yang and Kouchner also exchanged views on regional and international matters such as the nuclear issues on the Korean Peninsula and in Iran, the situation in Myanmar, climate change and the Darfur and other issues in Africa.
BEIJING -- China and Japan will start the seventh round of talks on the East China Sea issues in Tokyo, Japan on Thursday, Foreign Ministry spokesman Qin Gang Tuesday told a regular press conference. Director of Chinese Foreign Ministry Department of Asian Affairs Hu Zhengyue and head of the Japanese Foreign Ministry's Asian and Oceanian Affairs Bureau Kenichiro Sasae will attend the talks as top negotiators, according to Qin. China and Japan were divided by the issue of the demarcation of the continental shelf of the East China Sea. Qin said China insisted on shelving the disputes and engaging in joint development, and hoped that related issue would be properly solved through negotiation. "We expect to make in-depth and full discussion with Japan during the upcoming seventh round of talks," the spokesman noted.

BEIJING -- China's central bank admitted on Wednesday that the country is coming under increasing pressure from price hikes, and acknowledged inflation risks are "worthy of attention".The People's Bank of China said in its second-quarter monetary report published on Wednesday that the current rising prices were not solely caused by accidental and temporary factors, adding that inflation risks were on the rise.It warned that the price hikes of food products could spread to other consumer products.The report identified four reasons behind the increasing risk of inflation.It said prices for grain and meat products would not fall in the short term and uncertainties over the autumn harvest were aggravated by the ongoing drought.Meanwhile, the demand for grain is increasing from both the public and the bio-fuel industry.The meat prices would probably continue to rise in the long term owing to the rising feeding costs and the short supply, which would not be replenished in the short term due to the breeding cycle of pigs, and the price hikes of meat could easily spread to other food products, the report said.Prices of energy and resources are under pressure as the world petroleum price has climbed to an even higher level and the domestic pricing reform of resources and the country's environmental protection efforts would also push the prices higher, it said.The report also said labor costs were rising which would eventually raise the prices of consumer products.People's anticipation of inflation had been enhanced, and it would put further pressure on price hikes, according to the report.A survey by the central bank in the second quarter showed that 40.2 percent of those interviewed, the second highest record since 1999, said they were worried about inflation.China's consumer price index (CPI) rose 3.2 percent in the first half of this year, and the growth rate was 1.9 percentage points higher than the year-earlier level.Price hike for foodstuffs, mainly grain, meat and fowl and eggs, contributed significantly to the rise. Statistics show that foodstuff prices rose 7.6 percent, with grain price up 6.4 percent, egg price up 27.9 percent and prices for meat and fowl as well as related products up 20.7 percent in the first half.
BEIJING - China's currency, the yuan, hit a new high against the US dollar on Thursday, following an overnight key interest rate cut in the United States.The yuan, also known as the renminbi, went up 145 basis points from the previous day to a central parity rate of 7.1853 yuan to one dollar, breaking the 7.19 mark.The Federal Reserve on Wednesday cut US interest rates by a bold half-percentage point as part of its efforts to shore up economic growth.The move came just eight days after the US central bank slashed rates by three quarters of a percentage point, leading the dollar to weaken against other major world currencies.The Chinese currency had appreciated against the greenback by about 12 percent since a new currency regime was imposed in July 2005 to revalue and de-peg it from the dollar.It had climbed 6.9 percent against the dollar in the past year, but some US critics say it remains undervalued, giving Chinese exporters an unfair advantage and resulting in the massive trade imbalance between the two countries.China was not against revaluation of the yuan, but opposed "excessively rapid" appreciation that was inappropriate to its national conditions, Commerce Minister Chen Deming said last month.Premier Wen Jiabao also said China would improve the yuan's exchange rate mechanism in a controllable and gradual manner, let the market play a bigger role in the mechanism and enhance the currency's flexibility.
The head of the World Health Organization (WHO) Thursday warned of worsening health in the country's vast rural areas while praising the government for its commitment to improve healthcare in the countryside."The health indicators have failed to improve in pace with the economic indicators," said Margaret Chan when addressing a conference on rural primary healthcare in China."The health gap between rural and urban areas has grown even wider and health in parts of rural China is deteriorating."Medical costs are rising faster than the growth of per capita income in rural areas, she added.She said she appreciated the government's efforts and plans to build a medical system for all people, saying "when fair and accessible public health services become the clear targets of a country's public health policy, people's health will be improved".The WHO chief said she had noticed that the tasks on improving people's well-being in the report by Party chief Hu Jintao at the 17th National Congress of the Communist Party of China included a basic medical insurance system for urban dwellers and a cooperative medical care system in rural areas.She said recent WHO research has found that diseases are the source of poverty for 30 to 50 percent of the rural population of 737 million.A growing number of rural people, especially the aged, are suffering from various diseases; however, few have access to decent healthcare, she told the conference.Chan criticized the practice of allowing healthcare services to be commercialized in rural area, warning that it will cause the patients deeper suffering.The government has pledged to provide its population with basic medical care by 2020.It is expanding medical care through the Rural Cooperative Medical Scheme, a plan under which subscribers are funded to the tune of 50 yuan (.4) per person - 20 yuan (.6) from the central government, 20 yuan from the local government and 10 yuan (.3) from the individual.Vice-Minister of Health Chen Xiaohong said nearly 85 percent of the country's rural area, or 2,429 counties, are participating in the plan.
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