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BRUSSELS, May 7 (Xinhua) -- The European Union (EU) and China should work together to ward off potential surge of protectionism amid the global economic slump, Chinese Vice Premier Wang Qishan said on Thursday. "China and the EU should stand firm against any form of protectionism for the sake of a global economic recovery," Wang said in an opening remark at a high-level economic and trade dialogue between the EU and China, two major trading powers in the world. The EU is now China's largest trading partner, while China is the second largest of the EU. Trade volume between them grew to 425.58 billion U.S. dollars in 2008, an increase of 19.5 percent over the previous year despite the impact of the financial crisis, according to figures from China's customs authorities. Wang said the two sides have every reason to avoid protectionism, either for the urgent need to work out of the current crisis or due to the irreversible trend of globalization. Chinese Vice Premier Wang Qishan (C), Chinese Minister of Commerce Chen Deming (L) and Minister of Finance Xie Xuren attend the Second China-European Union High Level Economic and Trade Dialog at the EU headquarters in Brussels, capital of Belgium, May 7, 2009He warned that protectionism, featuring the pursuit of benefits for one country at the expense of others, would in the end protect nobody, but lead to retaliation and make the crisis even worse, which has been proved by the history. The world economy paid a heavy price for the prevalence of trade protectionism during the Great Depression in the 1930s, which resulted in the contraction of global trade by two thirds. As the world economy plunged into its first-ever recession since the Second World War in the wake of the financial crisis, there is an increasing risk that more governments would resort to protectionist measures. For the EU, there has been more frequent use of anti-dumping measures against Chinese products, which is a major concern of the Chinese side. Wang urged the EU to take full account of China's concern and make real efforts to remove trade and investment barriers, adding the economies of China and the EU have much to offer each other and the two-way trade holds a huge potential. Chinese Vice Premier Wang Qishan speaks during the Second China-European Union High Level Economic and Trade Dialog at the EU headquarters in Brussels, capital of Belgium, May 7, 2009. He in particular called on the EU to relax restrictions on the transfer of advanced green technology to China so as to promote sustainable development. "The EU has an edge in new energy, energy-efficient building and waste recycling. There is a vast market in China for those green investments," Wang said. For the Chinese part, Wang said China will continue to send buying missions to Europe and encourage Chinese companies to increase procurement and imports from the continent as a concrete move to boost trade with the EU in the difficult times. In February, a big delegation of Chinese companies visited Germany, Switzerland, Spain and Britain. They struck 13.6-billion-dollar deals with their European counterparts. EU Trade Commissioner Catherine Ashton, who co-chaired the two-day dialogue with Wang, said the 27-nation bloc would remain committed to free trade. "We stand by our commitments to free trade and resist call of protectionism," Ashton said, adding everyone would benefit from further opening up. Ashton said the EU and China, as two key players in the world economy, should work together to meet global challenges, including a global free trade agenda. "What we do have an impact on the global economy. We have common interest to maintain openness, especially moving forward the Doha Round of world trade talks," she said. Her view was echoed by Wang, who called for joint efforts with the EU to help the world economy recover. "The urgent task now is to take decisive measures to kick-start the world economy," Wang said. "The EU is the world's largest economy, while China is the largest developing country. The economic and financial situation in the EU and China has a direct impact on the world economic recovery and financial stability." The high-level economic and trade dialogue, which is held annually between the EU and China, kicked off in Brussels on Thursday. The two-dialogue brought together key policy makers from both sides, including Wang and EU Trade Commissioner Catherine Ashton. A further eight EU Commissioners and a total of 12 Chinese ministers or vice-ministers are participating in the far-reaching talks, which cover a series of topics, such as trade, investment, small and medium-sized companies, customs cooperation, sustainable development, product safety and intellectual property rights. It is the second time that the EU and China hold the high-level economic and trade dialogue, which was agreed at a Sino-EU summit in November 2007. The first meeting was held in Beijing in April 2008.
BEIJING, June 5 (Xinhua) -- China will continue its massive elimination of backward industrial facilities in 2009 to save energy and cut pollution in its bid to address climate change, the government said Friday. China aims to close down small coal-burning power stations with a total generating capacity of 15 million kilowatts, according to an action plan approved by a joint meeting of the national steering committee for responses to climate changes and the State Council steering committee for energy-saving and emission control Friday. China will continue to eliminate obsolete capacity in key industries, including 10 million tonnes in iron-making industry, 6million tonnes in steel industry, and 50 million tonnes in cement industry, said the plan examined at the meeting presided by Premier Wen Jiabao. The meeting decided to adopt more measures, including stricter energy efficiency and environmental assessments, to control the expansion of industries that consumed excessive energy and discharged pollutants. Chinese Premier Wen Jiabao (C) presides over a State Council meeting on Climate Change, Energy saving and Emission Reduction in Beijing, China, June 5, 2009. (Xinhua/Pang Xinglei) The government also called for the promotion of recycling and the use of energy efficient products, including subsidizing purchases of energy-efficient air conditioners, refrigerators and lamps. Central and local governments would further increase investment in energy efficient projects. In 2009, such projects are expected to reduce energy consumption equal to 750 million tonnes of standard coal usage. New sewage treatment projects will treat 10 million cubic meters of waste water. The government would also publicize local government efforts to reduce energy consumption, improve supervision and enhance cooperation with international agencies to develop alternative energies and low-carbon technologies. The government has set a goal to reduce energy consumption per 10,000 yuan (1,464 U.S. dollars) of gross domestic product (GDP) by 20 percent from 2006 to 2010. In the three years to 2008, energy consumption per unit of GDP fell 10.1 percent, according to the State Council. That means saving 300 million tonnes of standard coal and cutting carbon dioxide emissions by 750 million tonnes. Emissions of sulfur dioxide in the same period fell 8.95 percent, and chemical oxygen demand (COD), a measure of water pollution, was down 6.61 percent.
BEIJING, June 24 (Xinhua) -- The Chinese government's fiscal revenue in the first five months of 2009 reached 2.7 trillion yuan (400 billion U.S. dollars), down 6.7 percent from the same period of last year, Finance Minister Xie Xuren said Wednesday. Xie revealed the figure in a report to the ninth session of the Standing Committee of the 11th National People's Congress (NPC), China's top legislature. Of the total, the central government collected about 1.4 trillion yuan, down 14 percent. This accounted for 39.6 percent of the annual budget. Local governments collected the other 1.3 trillion yuan, up 2.9 percent, which accounted for 42.4 percent of the annual budget. Xie cited four factors for the drop in fiscal revenues: a fall in international trade due to the global economic downturn; a fall in revenue value relative to the consumer price index and producer price index; structural tax reduction polices and a slowdown in China's economic growth. Structural tax reduction policies reduced taxes by about 230 billion yuan in the first five months, according to the report. He said in the first five months, fiscal expenditure nationwide amounted to almost 2.25 trillion yuan, up 27.8 percent over the same period last year, accounting for 29.5 percent of the budgeted figure. Central government expenditure totaled 459.3 billion yuan, up 21.4 percent, while local governments spent 1.79 trillion yuan, up29.5 percent, he said. The funding went mainly to expanding public investment, increasing subsidies for low-income groups, ensuring sufficient money for education, health, social security, employment, basic housing and culture, and supporting technological innovation, energy conservation and emission reduction. Xie stressed that the government would continue to ensure the stable growth of investment and actively implement structural tax reduction policies to ease the burden on business and consumers. Doing so would encourage companies to invest and individuals to consume. "Efforts should be made to boost revenues and cut spending," he said, calling for frugality and strict control of expenditures by reducing government vehicle purchases, reception fees and official travel. He said: "The construction of government and Party committee buildings should be rigidly limited." The government would promote the scientific and meticulous management of public finances, boost efficiency and deepen fiscal system reform, he said, adding that resource tax reform would be advanced and the consumption tax system would be adjusted. Xie said the outstanding national debt reached 5.3 trillion yuan at the end of last year, which was within the 5.5-trillion-yuan limit in the annual budget. The government's fiscal revenue reached about 6.13 trillion yuan last year, 19.5 percent more than in 2007. Xie said the central fund for reconstruction from last year's May 12 earthquake reached 74 billion yuan and expenditures were 69.77 billion yuan last year. This year, the central budget allocated 130 billion yuan for reconstruction work.
BEIJING, April 30 -- The nation's stimulus package has benefited energy conservation and emission controls with energy used to generate growth dropping further in the first quarter, the National Bureau of Statistics (NBS) has said. Energy intensity, or the amount of energy needed to generate per unit of GDP, dropped 2.89 percent year on year from January to March. That compares with a drop of 2.62 percent in the first quarter of 2008. Overall energy consumption grew only 3.04 percent in the first quarter from a year earlier while the economy expanded 6.1 percent, the bureau said in a statement. The NBS said the ratio of the services sector in the overall economy rose 1.6 percentage points, while the industrial sector dropped 1.9 percentage points. Also, the output of six energy-intensive industries fell 12.5 percent from the previous year. The figures show the stimulus measures have aided efforts to increase energy efficiency, cut emissions and promote economic restructuring, it said. The government announced a 586 billion U.S. dollars stimulus package last November to prop up domestic demand and maintain growth. But the huge spending plan sparked concerns that officials might compromise on environmental protection and energy saving targets, given the emphasis on growth. Yet, analysts said little of the government's spending has been allocated to high energy-consuming or highly-polluting projects, while spending on environmental issues has been increased. Capital requirements for projects such as railways, airports and housing will be lowered to raise investment, said a State Council meeting presided by Premier Wen Jiabao Wednesday. However, capital requirement for investments in high energy-consuming or heavily-polluting sectors, such as aluminum smelting, will be raised to prevent a rebound of production capacity in such industries. Of the 230 billion yuan the central government has approved on stimulus spending over the past two quarters, 10 percent went toward energy conservation, emission control and environmental protection projects, the National Development and Reform Commission said in a statement Wednesday. The figures show the central government wants to strike a balance between growth and economic restructuring, said Chi Fuling, president of the China (Hainan) Reform and Development Research Institute. The government may even increase spending on energy saving and environment protection as it tries to facilitate industrial transformation, Chi said. According to the NDRC, the government has earmarked 13 billion yuan in the next three years to expand sewage and garbage disposal facilities to most townships. It has also allocated 4 billion yuan for tackling water pollution in major rivers such as the Huaihe and the Songhuajiang. Forest conservation and energy saving projects get a combined 6 billion yuan. The government has pledged to reduce energy intensity by 20 percent by 2020 from 2005 levels; and chemical oxygen demand (COD), a key index of water pollution, and emissions of sulfur dioxide (SO2), a main air pollutant, by 10 percent between 2006 to 2010.
BEIJING, May 3 (Xinhua) -- China's retail sales climbed 9 percent from a year ago to about 12 billion yuan (1.76 billion U.S. dollars) during the three-day May Day holiday, the Ministry of Commerce said Sunday. The estimate was based on sales from May 1 to May 3 at 1,000 major domestic retailers monitored by the ministry. The ministry said robust sales were reported for gold, jewelry, home appliances and autos, as retailers launched promotion campaigns. Sales of gold and other jewelry rose 19.6 percent, the ministry said, without giving specific figures. However, it said the Beijing Caishikou Department Store, a major gold retailer in the capital, saw its sales nearly double to 14.3 million yuan on May 1 alone. Sales of appliances, such as LCD TVs, air conditioners, refrigerators and lap-tops, increased 11.4 percent, while those of automobiles grew 9.2 percent.