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China's Industrial Restructuring Offers Opportunities for Asia
China's industrial restructuring will solve structural difficulties for its own economic growth and create a wide market for Asian countries, a senior economic official said here Friday.

Li Rongrong, minister in charge of the State Economic and Trade Commission, told a workshop at the Boao Forum for Asia, which opened in this small town of south China's Hainan Province the same day, that China's 10th five-year-plan in 2001 had begun well, despite the sluggish world economy.

He attributed the achievement to China's adherence to the policy of stimulating domestic consumption, the pro-active fiscal policy and steady and healthy monetary policy.

Development in the first quarter of this year, China's first year as a member of the World Trade Organization (WTO), had also been encouraging, he said.

The country's industrial growth in the first quarter this year reached 651.8 billion yuan (US$78.5 billion), up 10.6 percent compared with the same period last year, laying a sound foundation for the attainment of its 9 percent goal, he said.

Li said China's entry into the WTO was an opportunity and a severe challenge for its industry.

Tariff cuts, the removal of non-tariff measures and relaxation of market accession, would help China introduce foreign technologies, talents and management expertise, helping its industrial restructuring and upgrading.

On the other hand, it would have a major impact on industries and products in which China was disadvantaged, he said.

The minister invited Asian countries to invest in China's hi- tech departments and take part in its western development plan.

They would also be welcome to play a role in China's restructuring of state-owned enterprises and technical upgrading, and to set up research and development centers and manufacturing bases in China, he said.

China would also encourage its enterprises to "go out" and strengthening their exchanges and cooperation with Asian businesses in advancing the common cause of prosperity and development for the continent, he added.

(China Daily April 13, 2002)

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