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BEIJING, Dec. 6 (Xinhua) -- China on Saturday gave further explanation on the proposed reform of fuel tax and pricing in a bid to dispel misunderstanding that a higher consumption tax will mean higher pump prices.     The authorities on Friday released a draft reform plan to solicit public opinions till Dec. 12. It had been long advocated by experts as key for energy saving and economic structure transform.     The plan, scheduled to take effect on Jan. 1, will abolish six fees now charged for road or waterway maintenance and management.     But drivers will pay higher fuel consumption taxes. Gasoline taxes will be raised from 0.2 yuan (about 3 U.S. cents) per liter to 1 yuan and diesel taxes from 0.1 yuan per liter to 0.8 yuan.     The government reiterated its Friday's statement that the pump prices, which include the higher tax, won't be raised and the reform won't increase costs for fuel consumers.     The tax is reflected in the pump prices and isn't an additional increase to the retail prices, said a joint statement by the National Development and Reform Commission (NDRC), Ministry of Finance, Ministry of Transport and State Administration of Taxation.     The proposed tax is lower than the level in the European Union and also in the neighboring countries and regions, it said.     The draft said China's domestic crude oil prices should be set directly in line with world prices, but the link should be controlled and indirect for refined petroleum prices.     There will be a ceiling on pump prices as part of the plan. The government said it will continue to properly regulate domestic pump prices to prevent the negative impacts of huge fluctuations in the international oil prices on the domestic market.     The reform helps to promote a healthy development of the oil sector and energy saving, and to ensure domestic fuel supply and a stable economic growth, said the statement.     But it said the government will increase subsidies to farmers, taxi drivers, and sectors of fishing, forestry, and public transport.     The reform will be a significant step towards liberalizing retail fuel prices, said researcher Zhou Dadi from the Energy Research Institute of the NDRC.     China has been pushing for fuel tax reform for many years, and the idea of a fuel tax was raised as early as 1994. Both officials and economists said the plunge in global oil price presents a window of opportunity for this reform.     The world crude oil price has plunged almost 70 percent from a peak of 147 U.S. dollars per barrel in mid-July.     Even with oil prices tumbling so much, Chinese drivers are paying much more than those in many other countries because domestic fuel prices have been unchanged since June. Government-set prices are changed only infrequently.     The pump prices are higher than the levels in the United States, but lower than that in some European and Asian nations, said the statement. But it noted this is because of oil resource shortages in the European and Asian countries and their intention to use higher prices to encourage energy saving.

JAKARTA, Dec. 23 (Xinhua) -- Visiting Chinese Vice Premier Li Keqiang met with Indonesian President Susilo Bambang Yudhoyono Monday afternoon, calling on the two countries to step up partnership and tackle the international financial crisis.     Li said that the development of cooperation between China and Indonesia, both as important developing countries in the region, serves to the significant purpose to promote peace and stability in the region and the world. Visiting Chinese Vice Premier Li Keqiang (L) meets with Indonesian President Susilo Bambang Yudhoyono (R) in Jakarta, Indonesia, Dec. 22, 2008.     Li highlighted the growth momentum of the bilateral cooperation in infrastructure and energy sectors, citing the Suramadu bridge being constructed by the Chinese company in Surabaya as a symbol of the bilateral cooperation.     Li said the two nations share huge potential for cooperation, noting that China will support and encourage the Chinese companies to participate in Indonesia's infrastructure construction, share successful experience on domestic economic development.     Li also called on Indonesia to intensify exchange and dialogue so as to tackle the current international financial crisis. Visiting Chinese Vice Premier Li Keqiang (L1) meets with Indonesian President Susilo Bambang Yudhoyono (R1) in Jakarta, Indonesia, Dec. 22, 2008.    Susilo welcomed Li's visit and recognized the rapid development of Indonesia-China relations since the two nations forged strategic partnership in 2005.     He also voiced his appreciation of the success of Beijing Olympic Games, highlighting the sports event as a pride for the Asian people.     The development of China is not only conducive to the Indonesia-China cooperation, but also of great significance to the common prosperity in the region and world as well, he said.     The Indonesian president also expressed his gratitude for China's help in the country's economic development, suggesting that the two countries work closer and boost bilateral cooperation.     The Chinese Vice Premier also addressed a welcoming luncheon hosted by the Indonesian business community on Monday. He told the entrepreneurs from 33 Indonesian provincial districts that the two-way trade is expected to exceed 30 billion U.S. dollars by the end of 2008, an objective previously set to be realized in 2010, and Chinese government is willing to make joint efforts with the Indonesian business community to expand the fields and promote the level of the bilateral cooperation.     

BEIJING, Jan. 29 (Xinhua) -- China has set a frugal tone for its once-for-a-decade dress parade on Oct. 1 amid an economic downturn, promising that the military could strike a balance between morale-boosting spectacle and financial prudence.     Colonel Cai Huailie with the headquarters of the general staff of the People's Liberation Army (PLA) confirmed a rumor that the parade showcasing China's latest military achievement will be conducted in an economical way.     "Chinese military forces have a tradition of fulfilling large causes by spending less money," Senior Colonel Chen Zhou, an expert with the PLA's Military Science Academy, said in an online communication with netizens on eve of China's Spring Festival.     "We could see that the parade on National Day would be solemn and cost-effective," said Chen who has participated in drafting China's national defense white paper six times.     A number of netizens also questioned whether China would shrink its defense spending since the financial crisis has already cut the budgets of numerous enterprises and directly impacts the country's export-oriented companies.     Colonel Wen Bing, a researcher with the academy, said although China has raised it defense spending thanks to annual growing revenue, it has never gone beyond endurable economy.     Wen also revealed that the defense budget has been made according to China's laws and it will be submitted for approval to the annual session of National People's Congress, the top legislature, in March.     The third of its kind since China adopted the reform and opening-up policy three decades ago, the dress parade of the Chinese armed forces under the command of President and Chairman of the Central Military Commission Hu Jintao will display home-grown on-duty weapon systems of all the services.     In the last two parades, in 1984 and 1999, late leader Deng Xiaoping and former President Jiang Zemin reviewed troops representing millions of service people.     Such parades were frequent before 1984, with 11 parades in the 11 years after the PRC was founded on Oct. 1, 1949. It was suspended after 1959 until 1984 when Deng decided to resume the pageantry to rouse the nation on the track toward a liberalized economy.     The last parade on Oct. 1, 1999 involved more than 11,000 military staff, 400 combat vehicles and 132 aircraft. The servicemen trained for the synchronized marches and hailing slogans for about 10 months.     It is reported that the total cost of that parade will be kept at less than 300 million yuan (44.1 million U.S. dollars) and overseas rumors said it could be as many as 16 billion yuan.     The PLA's Navy has made impressive progress since its foundation in 1949. It has just sent three warships to the Gulf of Aden for an escort mission against piracy.     Although the Defense Ministry has not confirmed whether the dress parade will include a naval performance in China's waters, Colonel Cai said that there will be new weapons and equipment that have not been unveiled to the public since 1999.     Before the official announcement of the parade, an online debate on www.huanqiu.com about whether the government should hold a magnificent parade to celebrate the 60th anniversary of founding of the People's Republic of China had shown that more than 85 percent of the netizens voted yes. But it has not yet muted voices suggesting the authorities reconsider the parade.     "China has many fields that need capital investment after the major earthquake in Wenchuan. The government should use the taxpayers' money in more important and practical undertakings rather than parade," a netizen named "tomato boy" said.     "Military parades are an outcome of the cold war. Our weapons are modern and powerful, but we are not in any cold war," a netizen "a common man" said.     But those who overwhelmingly support the parade agree that the parade will bring encouragement to overcome difficulties amid economic downturn.     Dong Hongda, a senior online poster on www.xinhua.org, has worked out proposals on how to make the parade more cost-effective.     First, the government should control the parade in a proper scale by cutting the number of marching soldiers to a number that represents the quality of the PLA's elite.     Second, take out the female militia procession, since they are garish and dispensable part for the parade.     Third, reduce the duration of the training for the parade, since a large proportion of the parade expense will be spent in selecting the soldiers and training them, Dong said.

BEIJING, Dec. 28 (Xinhua) -- China had "unprecedented dynamic interaction" with the rest of the world in 2008, receiving some 180 heads of state or government, Foreign Minister Yang Jiechi said here Sunday.     Yang made the remarks when addressing a new year reception in the Diaoyutai State Guesthouse. State Councilor Dai Bingguo and more than 400 foreign diplomats and Chinese officials were also present.     Yang said the cooperation between China and the rest of the world was further consolidated and enhanced amid the natural disasters, Beijing Olympics as well as the international financial turmoil.     The year 2008 marks the 30th anniversary of China's reform and opening-up. "Great changes have taken place in China and China's diplomacy have reached a new height," Yang said. Chinese State Councillor Dai Bingguo (R) and Foreign Minister Yang Jiechi (C) cheers with a foreign envoy during a New Year reception held by the Minitry of Foreign Affairs of China, in Beijing, capital of China, Dec. 28, 2008.     China will remain on the road of peaceful development and adhere to the mutually beneficial strategy in the coming year, making unremitting efforts for the comprehensively sustainable social development and the peace and stability of the world, he said.     Nolana Ta Ama, Togolese Ambassador to China, said on behalf of the diplomatic corps in Beijing that the world needs China in the past, at present and in the future.     "All ambassadors are hoping to enhance dialogue and cooperation with China," Ta Ama said.     "Our task will be completed smoothly, as the country we are in takes not intervening in other countries' internal affairs and not seeking hegemony as the basis of its foreign policy," he said.

BEIJING, Jan. 9 (Xinhua) -- Chinese Foreign Minister Yang Jiechi and his Iranian counterpart Manouchehr Mottaki exchanged views over the phone Friday on promoting further development of bilateral relations in 2009 and international and regional issues of common concern.     On the situation in the Gaza Strip, Yang said China is seriously concerned and deeply worried about the grave humanitarian crisis caused by the escalation of the Palestinian-Israeli conflict.     China has made unremitting efforts to promote adoption by the United Nations Security Council of a relevant resolution on Gaza, Yang said.     He said China welcomes and supports U.N. Security Council Resolution 1860 and urges all the parties concerned to fully honor the resolution, cease fire immediately, ensure smooth operation of humanitarian assistance and promote an early relaxation of the humanitarian crisis taking place in Gaza.     China has always proposed that the issue of Palestine be resolved through political negotiation on the basis of related U.N. resolutions, the "Land for Peace" principle and the Arab Peace Initiative, he added.