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ASHGABAT, Aug. 29 (Xinhua) -- Chinese President Hu Jintao's three-nation tour to Central Asia has strategic significance for regional peace and stability, Chinese Foreign Minister Yang Jiechi said Friday.     The president has engaged in extensive exchange of views with the leaders of Turkmenistan, South Korea, Tajikistan and Russia on bilateral ties and major international and regional issues of common concern, reaching broad consensus, said Yang, who is accompanying Hu during the tour.     TO DEEPEN COOPERATION, STRENGTHEN TIES     After China's establishment of diplomatic ties with South Korea, Tajikistan and Turkmenistan 16 years ago, its ties with the three countries have enjoyed rapid development, and the fields of bilateral cooperation have witnessed continuous expansion.     During President Hu's visit, China issued a joint communique with South Korea and released joint statements with Tajikistan and Turkmenistan. Over 30 bilateral cooperative documents have been inked between China and the three nations.     In Seoul, Hu said China's ties with South Korea should aim at achieving common development of long term, and the two countries should share development opportunities, face challenges together, deepen comprehensive cooperation and enhance coordination and cooperation in dealing with major international and regional issues. Chinese President Hu Jintao (L Rear) and President of the Republic of Korea (ROK) Lee Myung-bak (R Rear) hold a joint press conference after their meeting at the presidential palace in Seoul, capital of the Republic of Korea, Aug. 25, 2008. Hu Jintao arrived in Seoul on Monday for a two-day state visit to ROKDuring his visit to Tajikistan, Hu said it's China's set policy to further develop the Chinese-Tajik relations of lasting friendship, equality and trust, mutual benefit and win-win outcome.     In the Turkmen capital of Ashgabat, Turkmen President Gurbanguly Berdymukhamedov called China as one of its main and reliable partners.     Both sides agreed to strengthen exchanges at various levels, deepen coordination and dialogue, promote cooperation in infrastructure and energy. Chinese President Hu Jintao (L Front) waves to people as Tajik President Emomali Rakhmon (R Front) greets him at the airport in Tajikistan's capital Dushanbe Aug. 26, 2008. Chinese President Hu Jintao arrived in Dushanbe on Aug. 26 for a state visit and to attend the 8th Shanghai Cooperation Organization (SCO) summit, scheduled for Aug. 28.South Korea, Tajikistan and Turkmenistan all reiterated their adherence to the one-China policy on the Taiwan and Tibet issues, and their support to China's efforts to safeguard sovereignty and territorial integrity.     TO PROMOTE SCO DEVELOPMENT     After years of development, the Shanghai Cooperation Organization (SCO) has become an important organization to safeguard peace and stability in Central Asia, push forward economic growth and strengthen cultural exchanges, Yang noted.     In a keynote speech at the SCO summit Thursday in Dushanbe, President Hu presented an in-depth analysis of the regional security situation and the threats and challenges confronting the SCO member states. Chinese President Hu Jintao (3rd L) poses for group photos with other leaders of the Shanghai Cooperation Organization (SCO) member states in Dushanbe, capital of Tajikistan, on Aug. 28, 2008, during the annual summit of the organizationAppealing to member states to further relations and implement the Treaty on Long-term Good-neighborliness, Friendship and Cooperation, Hu called on all sides to consolidate political mutual trust, enhance cooperation in security, economy and culture, and work together to build up regional harmony, Yang said.     The Dushanbe summit of the SCO culminated with the signing of several important documents such as the SCO Dialogue Partnership Protocol and a joint declaration, the Chinese foreign minister said.     On the sidelines of the summit, President Hu held meetings with his Russian and Kyrgyz counterparts and exchanged views on bilateral ties and international and regional issues of common concern, cementing bilateral understanding and trust, and furthering mutually beneficial cooperation, Yang said. Chinese President Hu Jintao (R) meets with his Russian counterpart Dmitry Medvedev in Dushanbe, capital of Tajikistan, Aug. 27, 2008. The Chinese and Russian presidents are in Dushanbe for Thursday's Shanghai Cooperation Organization (SCO) summit. TO CLARIFY DEVELOPMENT PATH     Throughout his tour and at the SCO summit, President Hu elaborated on China's domestic and foreign policies, emphasizing that his country's achievements in the past 30 years had sprung from its reform and opening-up policy and that its future development will also rely on the same.     The Chinese people will unswervingly continue the reform and opening-up, strive for a moderately well-off society and accelerate modernization, said Hu.     China will persistently follow the path of peaceful development and a reciprocal win-win strategy in its opening-up policy, he reiterated. Chinese President Hu Jintao (L) and Turkmen President Gurbanguly Berdymukhamedov shake hands after signing a joint statement in Ashgabat, capital of Turkmenistan, August 29, 2008Hu noted that China seeks peaceful, open and cooperative development, and endeavors to construct a harmonious world of lasting peace and common prosperity.     President Hu's three-nation tour lived up to initial expectations and was deemed as a successful visit of sticking to good-neighborliness, deepening solidarity and mutual trust and seeking mutual benefit and win-win outcome, Yang said.     Hu's tour will have a significant and far-reaching influence on upgrading China's relations with the three countries, promoting a long-term, healthy and stable development of the SCO and building up regional and international harmony, Yang concluded.

BEIJING, Sept. 12 (Xinhua) -- A preliminary investigation confirmed the contaminated Sanlu baby milk powder as the cause of kidney stones in infants after a first-phase probe by experts, China's Ministry of Health said here on Friday.    An investigation team jointly organized by departments including the health, public security, agriculture ministries and quality watchdog examined the urine and kidney stones of the infant patients and found the substance melamine therein.     The investigation team, which is in Shijiazhuang, Hebei Province, where dairy producer Sanlu Group is based, is now coordinating with the local government to investigate the incident.     "Those responsible for the contaminated milk will face severe punishment," said an official with the team.     The team arrived in Hebei on Friday. After listening to the local government's report on its handling of the incident, they collected samples and documents from the Sanlu Group and the local quality testing agency. They also visited the affected babies in local hospitals and gave advice on the treatment.     Sanlu, one of China's leading dairy producers, found during an internal company investigation in August its powdered milk products were contaminated with melamine, according to the team's investigation. Parents of the babies with kidney stones tell the reporter about their kids' drinking state at a military hospital in Lanzhou, capital of northwest China's Gansu Province, Sept. 11, 2008. So far this year, Gansu Provincial Health Department has seen 59 kidney stone cases in infants, and at least one baby died as a result of kidney stones. Most of them live in rural areas of the province. There were no such cases in 2006 or 2007The statement didn't say why the company didn't release the findings until news reports exposed dozens of babies became sick with kidney stones after consuming the Sanlu brand of baby milk powder for a prolonged period.     Health experts said melamine is a chemical raw material. Ingestion can lead to stone formation in the urinary tract.     A thermosetting plastic, melamine has an appearance similar to milk powder. It is widely used in manufacturing fabric, glue, housewares and flame retardants.     "The substance gives the appearance of a high nitrogen level, which is an index to measure the protein content in food," a health expert told Xinhua. He declined to be named.     One baby in the northwest Gansu province died from the stones. At least 59 cases had been reported in Gansu and other provinces.     Sanlu had sealed off 2,176 tons of contaminated milk powder and recalled 8,210 tonnes from the market. There were still 700 tonnes in circulation. All the contaminated formula was produced before Aug. 6.     Supermarkets in some provinces had started to pull the milk powder off shelves.     The Health Ministry said on Friday it had launched a nationwide investigation into the contaminated milk formula. All local health agencies were to report cases of infants with kidney stones immediately. It also issued a treatment plan on its website (www.moh.gov.cn) to help hospitals deal with sick babies.

BEIJING, Oct. 8 (Xinhua) -- China's central bank on Wednesday announced cuts in both the interest rate and reserve-requirement ratio in the latest effort to boost the domestic economy amid worries over the deepening global financial crisis.     The deposit and lending rates would be lowered by 0.27 percentage points from Thursday and the reserve-requirement ratio would be down by 0.5 percentage points from Oct. 15, the People's Bank of China (PBOC) said.     "This was mainly out of concerns over an economic slowdown," said Ba Shusong, deputy chief of the Finance Research Institute under the Development Research Center of the State Council.     "The rate cut was expected as the world was faced with a cycle of interest rate cuts," he told Xinhua.     OUT OF SLOWDOWN CONCERNS     The loosening in monetary policy, the second such move in less than a month, highlighted the government's rising concern over the slowing economy and slumping capital market.     The PBOC cut the benchmark one-year lending rate by 0.27 percentage points on Sept. 16, the first rate cut in six years. It also lowered the reserve requirement at medium- and small-sized lenders by 1 percentage point as of Sept. 25.     Tang Min, China Development Research Foundation deputy secretary, echoed Ba's viewpoint.     Tang said the government made the move mainly out of concerns over domestic problems. "The deepening U.S.-originated credit crisis has impacted the psychology of Chinese and also the real economy," he told Xinhua.     Investors, gripped by lingering fears of global economic downturn, dumped equities to drive the stock market down 66 percent from its peak last October.     China's gross domestic product (GDP) expanded 10.1 percent in the second quarter of the year, marking a deceleration for four consecutive quarters.     Its exports, a major driver behind the economy, reported slowing growth this year as the credit crisis reduced overseas demand for its goods. This has led to the closures of tens of thousands of local exporters and also job losses.     Local businesses bore the brunt of higher borrowing costs and were even finding it difficult to get credit after last year's tightening measures aimed at curbing inflation and averting economic overheating.     The easing in inflation has given room for the authorities to loosen monetary policy. The consumer price index rose 4.9 percent in August, off from the 12-year-high of 8.7 percent in February.     "Inflation is no longer a threat with the declining commodities prices," Tang said.     The monetary policy has been starting to loosen and the trend would not change in the short term, said Zhuang Jian, an Asian Development Bank (ADB) economist. "The whole world doesn't have strong confidence in the economic outlook."     TAX CUT TO BOOST DEMAND     In another move to boost domestic demand, the State Council, China's Cabinet, said it would scrap the 5 percent individual income tax on savings interest earnings starting on Thursday.     China began levying a 20 percent individual income tax on interest earnings in 1999 to narrow the income gap and encourage consumption and investment. The tax rate was slashed to 5 percent on Aug. 15, 2007.     The income tax cut was a must as it would help alleviate the erosion on personal income by high prices, especially given the cut in the deposit rate, Li Yang, head of the Finance Research Institute under the Chinese Academy of Social Sciences.     The tax cut, together with lower borrowing costs, would boost domestic demand, an increasingly more important driver of economy in the global credit crisis, Zuo Xiaolei, China Galaxy Securities chief economist, said.     GLOBAL COORDINATED RESPONSE     The move was also a timely response to the rate cuts by other major central banks and part of a coordinated effort to stem the global crisis, Tang said.     Six other major central banks, including the U.S. Federal Reserve, slashed interest rates on the same day to cope with the current financial crisis.     The U.S. Federal Reserve lowered its target for the federal funds rate by 0.5 percentage points to 1.5 percent. The Bank of England cut its rate by half a point to 4.5 percent and the European Central Bank cut by the same margin to 3.75 percent.     Central banks of Canada, Sweden and Switzerland took similar actions. The Bank of Japan said it strongly supported these policy actions.     Australia's central bank on Tuesday slashed the interest rate by 1 percentage point, the largest cut since 1992.

BEIJING, Sept. 2 (Xinhua) -- Top Chinese political advisor Jia Qinglin is urging to cultivate more farmers who not only plant but also know the ABCs of technology and management, since the country is seeking new ways to promote rural development.     "We should foster many more 'new-style' farmers who are educated and who know techniques and the basics of sales and management," said Jia, chairman of the Chinese People's Political Consultative Conference (CPPCC) National Committee, adding that rural areas should use urban development as a catalyst. Jia Qinglin, (2nd R), chairman of the Chinese People's Political Consultative Conference (CPPCC), speaks at a CPPCC National Committee meeting on balancing urban and rural development in Beijing, capital of China, Sept. 2, 2008. Jia made the remarks at a CPPCC National Committee meeting on balancing urban and rural development held here on Tuesday.     "It is a historical task to balance urban and rural development and promote the integration of urban-rural economic society. It is also a complicated, long-term task."     Jia urged that improvement in major areas such as the residence registration system, the rural financial system, employment and land use be given priority.     Jia, member of the Standing Committee of the Communist Party of China Central Committee Political Bureau, said goals such as lifting rural incomes and promoting agriculture efficiency should be incorporated into the overall plan of the country's economic development.

XIAMEN, Sept. 7 (Xinhua) -- China's southwestern province of Sichuan needs 1.67 trillion yuan (about 245.6 billion U.S. dollars) for reconstruction after the devastating earthquake on May 12, Huang Xiaoxiang, the province's vice governor, said on Sunday.     "Sichuan is still in need of a large amount of fund despite the efforts of the central government, local governments and other social sectors," Huang told a conference held in Xiamen City, in eastern Fujian Province.     The total funds, including those the central and other provincial governments raised, overseas donations, and lottery earnings, accounted for less than 25 percent of what the reconstruction work demanded. Quake-sufferers carry the re-found living necessities from the shattered houses at the quake-hit area of Huili County, southwest China's Sichuan Province Sept. 3, 2008    Huang said the province would rebuild 4.5 million urban and rural homes, 51,000 km of highways, 5,500 km of railways, 11,700 schools and 9,700 medical institutions.     Apart from that, 2,000 reservoirs, 810 power stations and more than 100,000 hectares of farmland needed to be restored.     The reconstruction work was expected to consume 37 million tonnes of steel, 370 million tonnes of cement, 210 billion bricks and 20 million cubic meters of timer.