<% session("URL")=request.servervariables("URL") session("string")=request.servervariables("query_string") %> China International Fair for Investment and Trade
¡¶International Investment Express¡·




Investment policies stable


Express staff

XIAMEN: Attracting more foreign direct investment (FDI) will play a significant role in upgrading China's competitiveness.

That was the consensus reached by officials and industry insiders yesterday at the ongoing Sixth China International Fair for Trade and Investment (CIFTI).

"FDI has become an important force for economic globalization," said State Councillor Wu Yi in a letter to the 2002 International Investment Forum held here yesterday dubbed, "FDI: To create international competition."

Wu also stated that China will continue to adopt coherent and stable foreign investment policies.

"We will work more actively to improve our business environment to attract more foreign investment," pledged Shi Guangsheng, head of Ministry of Foreign Trade and Economic Co-operation (MOFTEC).

He said strenuous efforts have been made to reduce tariff levels, demolish non-tariff barriers, rectify the legal system and standardize market order to create an open, transparent market environment.

MOFTEC figures revealed that China had attracted US$424.77 billion in actual utilized foreign investment by the end of July this year.

Contracted foreign investment stood at US$799.65 billion, and a total of 408,551 foreign invested firms were set up.

Some experts even suggested China could attract as much as US$100 billion annually in foreign investment by 2005.

"We will not only attract foreign investors, but also encourage Chinese enterprises to take an active part in international competition and co-operation," Shi said.

"It is inevitable that we should go out and seek co-operation to upgrade our competitiveness."
China's foreign trade ranked sixth in the world with its volume reaching US$510 billion. Foreign reserves topped US$246.5 billion by the end of July.

Manufacturers were increasingly moving to China from other Asian countries to take advantage of its cheap labour and business environment.

"But China must constantly drive forward the process of modernization," said Lord Charles Powell, president of the China-Britain Business Council.

Several key factors should be guaranteed if China wants more foreign capital such as the gradually lifting of related restrictions on foreign investor ownership, protection of intellectual property rights, banking and insurance reform, and the liberalization of distribution.

Christopher Galvin, Motorola Chairman and Chief Executive Officer, said: "Abuse of intellectual property is just as detrimental to the growth of China's domestic companies and their innovation and creativity as it is to those foreign companies that wish to establish a business in China."
Percy Weatherall, managing director of Jardine Matheson Holdings, said: "I believe that encouraging further FDI in the service sector will bring huge benefits to the Chinese economy as it moves swiftly forward."

China is in increasing need of software which the service industry provides, he said.

Welcome Homepage | Share with my friends | Comments | Contact us
China International Fair for Investment & Trade ©
China(Xiamen) International Investment Promotion Center