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Chinese Premier Wen Jiabao waves to the construction workers during his visit to a water dam construction site in southwest China's Chongqing Municipality Dec. 21, 2008. During his trip, Wen visited a number of local factories, communities, villages and worksites. CHONGQING, Dec. 22 (Xinhua) -- Premier Wen Jiabao has called it a prime job to maintain a stable and relatively fast economic development and take more direct, powerful and effective measures to implement central policies on increasing domestic demands and promoting economic growth in a substantial way. "Next year, it is the important target to stop the declining trend of economic growth and it is a must to focus on increasing domestic demands so as to promote economic growth," said the premier during an inspection tour in southwest China's Chongqing Municipality from Dec. 21 to 22. Chinese Premier Wen Jiabao waves to college students of Chongqing University in southwest China's Chongqing Municipality Dec. 22, 2008. During his trip, Wen visited a number of local factories, communities, villages and worksites. During his trip, Wen visited a number of local factories, communities, villages and worksites, with the company of Chongqing Communist Party chief Bo Xilai and Mayor Wang Hongju. In his talks with local people, Wen discussed ways to get over the current financial difficulties and speed up reform and development in Chongqing. Chinese Premier Wen Jiabao holds a talk with locals in a village of southwest China's Chongqing Municipality Dec. 21, 2008 In a visit to the reservoir worksite, Wen was told that Chongqing plans to invest 40 billion yuan (5.88 billion U.S. dollars) in water conservation projects in the coming five years as part of its efforts to increase domestic demand and improve the quality of life. "We must make a good use of every coin of the people," he said. At a workshop of the Chang'an Group, the premier showed great concerns over the negative impacts of the global financial crisis on the city's automobile industry. Chinese Premier Wen Jiabao sits in a car produced by the Chang'an Group in southwest China's Chongqing Municipality Dec. 21, 2008 The company's car sales have been declining since November. It is expected to further decrease in December and the first quarter of next year, said the company's president Xu Liuping. "We must brave the difficulties by ourselves, but we also need government support," Xu said. Wen said that difficulties in the country's automobile industry are temporary as it a promising industry, because "China has a huge market." Chinese Premier Wen Jiabao visits a factory in southwest China's Chongqing Municipality Dec. 21, 2008. Wen urged the company to depend on innovation and reform while improving quality and decreasing the cost. "Company leaders must be bold to shoulder responsibilities and the staff should unite as one, to get over the difficulties together," he said. On Monday morning, the premier paid a visit to a communal social security center to learn about the life of low-income families. "The more financially challenged we are, the greater attention we should pay to those in need," he stressed. At the home of 76-year-old Ren Guoqing, the premier said the government has decided to continue increasing the pension of retirees, as well as the subsidiaries for low-income families and other families who receive government subsidies. During his tour in the city, Wen paid an unplanned visit to Chongqing University, where he met thousands of students and encouraged them to be confident in the difficult times.
BEIJING, Jan. 2 (Xinhua) -- Premier Wen Jiabao has urged Chinese companies to stress innovation to combat the impact of global economic turmoil. Wen made the remarks as he visited companies, markets, communities and rural areas in China's eastern Shandong Province over the first two days of 2009. He sought to reassure people that the economy would be able to regain steam. "Try to develop new types of candles to cater to different cultures, which would capture big market share," Wen said during avisit to Qingdao Kingking Group, the world's second-largest candle maker. During a visit to Haier, the country's largest appliance maker, the premier praised its sales promotion and services in rural areas as a factor stimulating rural consumption, which he said would help ease the impact of the global financial crisis. Chinese Premier Wen Jiabao (C) visits Yatai electric appliances supermarket that sells subsidized household appliances in Jimo City under Qingdao, a coastal city in east China's Shandong Province, Jan. 2, 2009. Wen visited companies, markets, communities and rural areas in Qingdao on Jan. 1-2. China kicked off a subsidized household appliance program in December 2007 and decided on Wednesday to further expand subsidies for farmers' purchases from Feb. 1 to boost consumption. "How Haier is dealing with the global crisis tells us there is opportunity amid crisis, and the opportunity lies in innovation, which will not only help shake off the impact of the crisis but also upgrade enterprises," Wen noted. He said the country would increase subsidies to 15 billion yuan (2.2 billion U.S. dollars) in 2009 from last year's 9 billion yuan. It would increase domestic spending by more than 100 billion yuan. The policy would remain in force for at least five years, which would increase appliance sales by more than 500 billion yuan, Wen added. He highlighted the importance of innovation and called for enterprises to design and develop high-quality, low-cost products for rural markets. Wen also went to a village in Shandong Province to talk with rural families. He reassured villagers that apart from the expanded subsidies, the government also encouraged enterprises to purchase old appliances and allow farmers to trade in older models for new ones as a move to sustain domestic demand. The premier reiterated "confidence" wherever he went, saying a solid material foundation, stable financial system, abundant cash flow, large domestic markets, appropriate macroeconomic policies and others steps boosted confidence. Wen said the State Council, or Cabinet, is drawing up two major plans. One involves 10 programs to expand demand, further detailing and specifying the 10 stimulus measures kicked out last year. The other includes the readjustment and improvement of 10 pillar industries. Plans for the development of steel industry and automobile industry have been rolled out and others are under way.
BEIJING, Jan. 25 (Xinhua) -- Many Chinese received a smaller bonus this year because of the global financial crisis and decided to tighten their belts - but they still let their hair down for the traditional Spring Festival. The freezing weather and slowdown in economic growth did not affect Chinese people's festivities, with supermarkets and shopping malls crowded with shoppers seeking goods for the Spring Festival celebration. Even dairy products, which have experienced shrinking sales because of the melamine scandal, were selling. Milk powder products of domestic brands have reappeared on the shelves, a Xinhua reporter found in Wal-Mart at Xuanwumen, Beijing. "This is the safest period for dairy products as the government has intensified quality supervision and inspection after the scandal," said saleswoman Qiao Xinhong. Many Chinese people like to buy boxed milk or yogurt for family reunions or as gifts to friends and relatives during the holiday. Dairy products, however, were only one part of people's shopping list, and snacks with wider varieties, clothes, jewellery and home appliances were also popular. The week-long Spring Festival holiday, which starts from Sunday, is China's closest equivalent to the West's Christmas shopping season. According to the Ministry of Commerce, sales at the country's major retailers on Thursday were 2.4 times as much as that on December 31. China's real retail sales growth in December accelerated 0.8 percentage points from November to 17.4 percent, according to figures released by the National Bureau of Statistics (NBS) Thursday. Retail sales jumped by 21.6 percent last year to 10.8 trillion yuan (1.6 trillion U.S. dollars), which was 4.8 percentage points higher than 2007. The booming Chinese market has become more attractive to foreign retail giants, who have suffered from weak demand caused by the global financial crisis. "Although the global financial crisis has weighed on China's economy, the fundamental of the country's economy remains unchanged and we are very optimistic about the prospects for the Chinese market," Britain's largest retailer Tesco told Xinhua in an email. Sales in the rural market, which is believed to have the great potential to boost domestic demand, has reported month-on-month increases since May. November retail sales in rural areas rose 18.3 percent, 8.2 percentage points higher compared with the same period of 2007 and for the first time surpassed urban consumption growth. Wei Wanqian, a farmer in eastern China's Shandong Province, was busy with the last-minute preparations to celebrate the Spring Festival. He bought a new tractor earlier this month. "Boosting domestic demand should be the government's major taskof economic work," said Zuo Xiaolei, senior analyst at the Beijing-based Galaxy Securities. "Effective boosting measures along with the improvement of social security system will accelerate the consumption growth by two to three percentage points this year," Zuo said. The State Council, or the Cabinet, has taken an array of measures to enhance domestic consumption. These included improving the rural distribution network, promoting the subsidized home appliance program and boosting festival consumption. More detailed measures would come out in March during the delivery of the government work report, sources said. Although the impacts of global financial crisis were still unfolding, some positive signs surfaced in December economic date, officials and analysts have said. These included the figures on money supply, consumption and industrial output. Whether the "positive changes" represented a trend was unclear, NBS director Ma Jiantang said.
BEIJING, Jan. 1 (Xinhua) -- Chinese President Hu Jintao and his U.S. counterpart George W. Bush exchanged congratulatory messages Thursday to mark the 30th anniversary of the establishment of diplomatic relations between their two countries. Chinese President Hu Jintao(R) meets with U.S. President George W. Bush in Lima, capital of Peru, Nov. 21, 2008. The establishment of diplomatic relations between China and the United States 30 years ago "is a milestone that marked a new chapter in the history of our relations and had a significant and profound impact on the international situation and the world's landscape," Hu said in his congratulatory message. "For 30 years, thanks to the concerted efforts of generations of Chinese and American leaders and people of vision from all walks of life, we have made historic achievements in growing these relations," the Chinese president said. "Our two countries have fruitful exchanges and cooperation in a wide range of areas. Our two peoples are increasing mutual understanding and friendship day by day. The strategic significance and global implications of China-U.S. relations have become all the more evident," Hu said. "These facts have proven that the establishment and development of normal state-to-state relations between China and the United States serves the fundamental interests of our two peoples and go along with the trend of the times. They have not only delivered enormous benefits to our two peoples, but have also greatly contributed to peace, stability and development of Asia and the world at large," Hu said. The world is now undergoing complex and profound changes, Hu said, adding under the new circumstances and in the face of new opportunities and challenges, China stands ready to work with the United States to build on past achievements, sum up and draw on experience in the development of China-U.S. relations, follow the principles of the three Sino-U.S. joint communiques, and remain committed to the development of a constructive and cooperative relationship. China is willing to further strengthen dialogue and exchanges with the United States on the basis of mutual respect, equality, mutual benefit and win-win cooperation, enhance mutual trust and cooperation, and continuously expand the basis for cooperation and common interests between the two countries so as "to promote sound, stable and in-depth growth of our constructive and cooperative relationship", Hu said. In his congratulatory message, President Bush said the decision by the two governments to open formal ties 30 years ago "transcended profound differences in our nations' histories, cultures, and political systems and bridged a seemingly impossible divide." "The peoples of the United States and China have come to know each other well over the last 30 years. Together, we have built bridges between our two nations in every conceivable field – from commerce and trade to education, science, sports, and the arts," Bush said. "Over the last eight years, the relationship between our two governments has become more constructive and cooperative, and we have made progress in addressing global challenges such as terrorism, pandemic disease, and the proliferation of nuclear weapons. We have worked as global leaders to promote open markets as the best way to foster economic dynamism and development," he said. He hoped that over the coming 30 years "our governments will build on this foundation of goodwill and work constructively together to advance the causes of peace, stability, and development." Bush expressed his confidence that working with common purpose and determination, China and the United States can successfully address global challenges to ensure that "our children inherit a truly better and safer world."
BEIJING, Oct. 17 -- The government is ready to introduce a series of measures to cushion the impact of slower growth in foreign trade and industrial output caused by the global credit crisis, the vice-minister of the National Development and Reform Commission, said Thursday. Speaking at a press conference held by the State Council Information Office in Beijing, Du Ying said that as the global economy has slowed, foreign trade volume, value-added output and the profit growth of industrial firms based in China's coastal areas have shown a downward trend in the second half of the year. "The State Council is greatly concerned by the trend and is ready to introduce a series of measures," he said. But the full impact of the global financial crisis has yet to be seen, he said. "We must have a full picture of the difficulties and challenges," he said. The government has already taken several measures to combat the impact, including lowering the deposit reserve ratio, helping small- and medium-sized factories to upgrade their technologies, and introducing more favorable credit policies, Du said. He said he is confident China can weather the storm. "As in the past, China can overcome the challenges and difficulties and enter a new stage of development. I'm fully confident of that," Du said. With the global financial crisis continuing to escalate, China - the world's fourth largest economy - has seen its major economic indexes slide. The National Bureau of Statistics is due to release figures on Monday for the economic situation over the past three quarters. Some analysts have forecast that GDP growth might drop further in the third quarter, from 10.1 percent in the second quarter and 11.9 percent for the whole of last year. Yang Xiong, vice-mayor of Shanghai, said the city's industrial output growth fell to 6 percent last month from an average of 11.5 percent per month in the first three quarters. The financial hub remains in good shape, however, partly due to investments in preparation for the 2010 World Expo, he said. Zhao Kezhi, deputy governor of Jiangsu, said the province's trade figures were down 4 percent year-on-year in the first nine months. Chen Min'er, vice-governor of Zhejiang, said the province had witnessed "individual" cases of company failures, but denied media reports of widespread factory closures. Authorities will respond by trying to cut the tax burden on local firms, make more credit available and ensure a sufficient supply of land and power for manufacturers, Chen said, adding that now was a good time to weed out obsolete, polluting plants. On Wednesday, Zhou Xiaochuan, governor of the central bank, called for increased domestic consumption to counter the economic slowdown. "Due to the impact of various factors, we may need to increase domestic demand," he told Hong Kong-based Phoenix TV.