China remains open to foreign investment and is keen to address
key issues including the trade imbalance and food security, Vice
Premier Wu Yi said in Beijing on Friday in her keynote
speech to American companies operating in China.
China and the US are major trade partners for each other, Wu
said at an annual event at the American Chamber of Commerce in
Her speech came ahead of the third China-US Strategic Economic
Dialogue, when top officials from the two countries will meet in
Beijing early next month to discuss trade issues.
Trade between China and the United States has been developing
very fast over the past decade, Wu said, and the two countries are
now each other's second-largest trading partner.
Bilateral trade has grown from $2.5 billion in 1979 to $262.7
billion last year, she said. It is expected to surpass $300 billion
In the past 10 years, the value of US exports to China has
almost tripled, she said. China this year became the third-largest
export market for US products.
Meanwhile, US companies doing business in China are making
healthy profits, Wu said.
According to figures from AmCham, in 2006, investment by US
companies in China was $80 billion, from which they made a total
profit of $10 billion. More than 70 percent of all US firms
investing in China are making profits, much of which comes directly
from the Chinese market, she said.
In terms of investment, the US remains the largest source of
foreign direct investment to China, with the total this year
reaching $55 billion.
More than 200 US firms have set up research and development
centers here, while China's investment in the United States is also
increasing, especially in the industrial, technological, financial
and insurance sectors.
China is also keen to address the challenges and problems of
foreign trade, with one of the key issues being the provision of
better protection for intellectual property rights, Wu said.
"IPR protection is not about anyone else; it is about China's
own development," she said.
Wu also tried to ease worries by foreign companies that China is
limiting investment in key industries in what they believe is "a
violation of its free-trade pledges".
"Some American friends are worrying about whether China will
shrink its opening-up policy and change its attitude toward foreign
capital. The position of the Chinese government to value FDI
(foreign direct investment) and attract more foreign capital won't
change," she said, prompting loud applause.
"China's door will be open forever."
AmCham-China is a nonprofit business association, which
represents more than 2,500 members and some 1,000 US companies in
(China Daily November 24, 2007)