星期三, 四月 27, 2005

Xinhua - English

Xinhua - English
ASEAN, EU eye free trade agreement

www.chinaview.cn 2005-04-27 18:09:27

HA LONG CITY, Vietnam, April 27 (Xinhuanet) -- The ASEAN and the EU agreed Wednesday to conduct a joint feasibility study to look into a potential free trade agreement (FTA) between the two blocks, and their future economic cooperation orientations.

"We agreed to deepen and intensify work together to boost ASEAN-EU economic cooperation. I'm pleased to add my support to our agreement this morning to undertake a high-level feasibility study for a FTA," EU Trade Commissioner Peter Mandelson said at a press briefing after the 6th Consultation between ASEAN Economic Ministers and the commissioner concluded in the northern city of Ha Long.

A working group with representatives from the European Union (EU) and the Association of Southeast Asian Nations (ASEAN) would make specific reports by the end of this year, he said, noting that the "Trans-Regional EU-ASEAN Trade Initiative" (TREATI), initiated by the EU in 2003 to beef up trade and investment ties between two regions, will act as a pillar of their cooperation ties in the future.

Under the TREATI, the cooperation initially centers on information exchange, mutual understanding enhancement and technical assistance for ASEAN. Economic ministers from ASEAN members, at the consultation, agreed to have TREATI focus on policy dialogue and regulatory initiatives while other ASEAN-EU programs would complement TREATI through provisions of technical assistance, Indonesian Trade Minister Mari Elka Pangestu said at the briefing.

She said that, during the consultation, the ministers exchanged views on progress on the economic integration initiatives in the two blocks, including the progress made in working towards the realization of the ASEAN Economic Community, developments in the implementation of the 11 priority integration sectors and the status of ASEAN's FTA negotiations with dialogue partners, including Japan, South Korea, India, Australia, New Zealand and China.

The ministers agreed that ASEAN members would accelerate the integration process of farm produce, electronics, seafood and woodwork, of which 4 out of 11 sectors stated in the ASEAN Framework Agreement for the Integration of Priority Sectors, inked in 2004 in Laos. The 11 sectors are agro-based products, air travel, automotive, e-ASEAN, electronics, fisheries, healthcare, rubber-based products, textile and apparels, tourism and wood-based products.

The ministers also showed their continued support for the early accession of Vietnam and Laos to the World Trade Organization, the Indonesian Trade Minister noted.

Now, ASEAN's export to the EU accounts for some 15 percent of ASEAN's total export, and its import from the EU about 12 percent. Up to 25 percent of foreign direct investment in the ASEAN comes from the EU.

The ASEAN comprises of Vietnam, Thailand, Singapore, Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar and the Philippines. They are expected to post average economic growth of 5.7 percent this year. Enditem

asahi.com:EDITORIAL: Asian FTA negotiations: It's up to Tokyo to set a positive example�-�ENGLISH

asahi.com:EDITORIAL: Asian FTA negotiations: It's up to Tokyo to set a positive example�-�ENGLISHasahi.com > ENGLISH > Opinion,Editorial
EDITORIAL: Asian FTA negotiations: It's up to Tokyo to set a positive example
04/26/2005




Japan and Thailand have run into difficulties in the final stage of negotiations for a free trade agreement. Japan attaches importance to trade agreements with East Asian countries, and Thailand is pivotal in that sense. It is hoped that the accord between Japan and Thailand will be a meaningful one.

Among the member countries of the Association of Southeast Asian Nations, Thailand is by far the biggest exporter of agricultural and fisheries products to Japan. Moreover, Thailand is intent on transforming itself into an industrial country centered on automobile production and the iron and steel industry. Thai Prime Minister Thaksin Shinawatra said that his country aims at becoming a ``Detroit in Asia.''

Since the mid-1980s, Japanese makers of automobiles and electric appliances have made huge investments in Thailand. In fact, Thailand has accepted more direct investment from the Japanese manufacturers of cars and electric appliances than any other country.

The focal point in negotiations between Japan and Thailand is on which items should be exempt from tariffs. Bangkok initially suggested that Japan scrap tariffs on Thai rice, sugar and chicken. But Japan wanted to cancel its tariffs on imported steel products and automobiles.

Japan finds it practically impossible to scrap its tariff on imported rice as well as to liberalize sugar imports, which would hurt the economies of Okinawa and Hokkaido.

Thailand subsequently reformulated its demand, and it is now likely that the two countries will agree to minimum liberalization including the lowering of Japan's tariff on chicken in the agricultural area. As a quid pro quo, Thailand has asked Japan to soften its demand for an elimination of Bangkok's tariffs on Japanese exports of industrial products.

The two countries may be able to conclude negotiations through the expansion of minimum liberalization measures. And grilled chicken and papaya and other fruits imported from Thailand may become cheaper.

But the agreement as such, which has the least deregulation on trade, will be counterproductive in Japan's trade negotiations with other countries in the days ahead.

Japan is about to begin talks with ASEAN as a whole, including Vietnam and four other countries with which Japan has not yet had bilateral talks. Japan and Indonesia have already agreed to begin trade negotiations separately. In the run-up to trade talks with those countries, Japan should not set a bad precedent by signing a poor agreement with Thailand.

China has already taken an aggressive stance by liberalizing imports of some agricultural products from ASEAN countries. China's strategy is to win over other Asian countries by opening up its huge market of 1.3 billion people to those countries.

Japan should take advantage of its own strengths. To realize wide-ranging cooperative operations with other countries, Japan should offer cooperative programs that will enhance the other parties' competitiveness. An improvement of the rules of foreign investment in other countries is an important task, which will also be to the advantage of Japan.

We should try to increase mutual benefits in the long term by making fine-tuned approaches to our trading partners' requirements, which differ widely according to their stage of economic development.

To increase the number of countries that will understand such a strategy, it is essential for Japan to demonstrate tangible achievements in free trade in the field of agricultural products. While the new round of trade negotiations within the framework of the World Trade Organization still remains stalemated, Japan's high import tariffs on rice and other items cannot be tolerated indefinitely.

If Japan, an advanced industrial country, intends to have its trading partners swallow a bitter pill, it should set an example by taking it first. Japan should renew discussions with Thailand on rice imports at an early date.

A meaningful free trade agreement should be sought to realize an ``East Asia Community'' that Japan aims at creating.

--The Asahi Shimbun, April 25(IHT/Asahi: April 26,2005)

星期一, 四月 25, 2005

Integration helps deliver Asian dream

Integration helps deliver Asian dream
Integration helps deliver Asian dream
China Daily Updated: 2005-04-23 06:04



The Annual Report 2005, released yesterday at Boao Forum for Asia in South China's Hainan Province, depicts a phenomenal trend to which not only Asian nations but also the rest of the world must adapt.

More evident than ever, the economic integration is promoting the upgrading of Asia into an increasingly important player in the world economy.

It is a remarkable achievement that developing Asian economies have increased their share in the world aggregate GDP from 15 per cent in 1990 to 23.8 per cent in 2003. The continent produced 38 per cent of world output that year.

More amazing is the prospect that, if the growth momentum continues, Asia as a whole will soon contribute nearly half of the world output.

Surely, this will represent an unprecedented shift in the focus of the world economy in modern historical terms.

However, for Asian nations to ride the trend, it is more important to understand the driving force behind it rather than simply to take it for granted.

A strong desire shared by the Asian people to accelerate economic development and social progress is most certainly one of the underlying causes of the emergence of Asia in recent years.

But as the report noted, the growth in the share of Asian economies in world trade and output was not uniform across the area over the last 20 years. The largest increase in output and trade share accrued to East Asian countries.

Robust growth of the Chinese economy has fed through to the rest of East Asia to a degree, which explains the disparity in the pace of growth between various parts of the continent.

Yet, the more fundamental reason lies in the impressive expansion of East Asian intra-trade based on the growing symbiosis of export and import composition of countries in the group.

It is noteworthy that East Asian intra-regional trade grew even more rapidly than its global trade; its intra-trade share in world trade went up threefold from 2.2 per cent to 6.5 per cent over 1985-2001.

The fact that trade between China and individual East Asian countries is considerably greater than what should be expected based on their proximity and relative size in world trade reflects a growing interdependence between them. That is clearly a result of the active participation of these countries in the international vertically integrated production sharing across Asia.

This is an important finding that all Asian nations should take to heart if the growth miracle of Asia will be sustained to deliver common prosperity.

Although the success of the last 20 years does not guarantee smooth sailing for the Asia economy in the coming decades, the experience accumulated in one part of the continent should allow Asian nations to learn from and contribute to one another.

A key message the report has helped drive home is that co-ordinated policy approaches are essential to the emergence of integrated international production systems in Asia.

Rapid development will spread across Asia only when greater economic and political co-operation strengthen trade ties in both multilateral and regional frameworks.


(China Daily 04/23/2005 page4)

Hu visit se

???????-??胡锦涛访问东南亚 "南南合作"继往开来

21世纪经济报道  2005-04-20 16:19:36




  最后截稿
     
  本报记者 刘波 北京报道
  
  首次亚非会议是要解决民族独立问题,这次50周年峰会则是要解决发展和地区冲突问题,建立稳定的南南合作机制。
    
  4月20至28日,中国国家主席胡锦涛将应邀出访文莱、印度尼西亚和菲律宾三国,同时将出席在印尼首都雅加达举行的纪念万隆会议50周年的亚非峰会。此次亚非峰会由印尼和南非共同发起,有50个亚非国家参与。这是胡锦涛今年的首次出访,表明中国新领导层对发展与东南亚关系的重视。
  1955年在印尼万隆举行了有29国参加的首次亚非会议,会议提出“团结、友谊、合作”的万隆精神和处理国家关系的“万隆十项原则”,当时是亚非发展中国家首次召集的国际会议。中国社会科学院世界经济与政治研究所研究员沈骥如对本报记者表示,参加亚非峰会作为胡锦涛此行的主要目的,将非常有助于在新时代下继承亚非国家团结、南南合作的传统。
  
  “南南合作”开新局
  外交部副部长武大伟在4月18日外交部举行的吹风会上介绍,中国同亚非国家贸易额去年达到4629亿美元,同比增长35.5%。中国进口的能源、资源主要来自亚非国家,中国企业的境外投资活动也主要集中在亚非国家。据透露,此次会议将签署《亚非新型战略伙伴关系宣言》,发表《亚非领导人减灾联合声明》。
  沈骥如认为,在经济全球化进程中,有些发展中国家的经济发展出现了分化,中、印、东盟等,成为世界经济中新的亮点;而有些国家则被边缘化。为了推动整体发展,发展中国家之间应当进行良好的交流,将南南合作落实到行动上。
  沈骥如解释称,首次亚非会议是要解决民族独立问题,今天则是要解决发展和地区冲突问题,这将是一个继往开来的会议。中、印、东盟在快速发展、实力增强的同时,有可能对发展滞后的一些国家提供帮助。中国原材料需求巨大,很多亚非国家则需要投资和经营上的合作,相互促进可以实现双赢。“这也是去年胡锦涛访问南美所实现的。”
  他认为,非洲也有非常丰富的资源,但缺乏资本和技术,中印东盟都有到非洲进行投资和发展的条件,可以实现互补性和双赢。同时亚洲要实现内部安定,本次会议也可以成为解决地区冲突交流经验的平台。建立稳定的南南合作机制,对于实现联合国千年计划提出的减贫和可持续发展目标也是很好的机会。
  
  加强东盟合作之旅
  胡锦涛此行同时也是一次加强中国与东盟合作之旅。2003年10月,中国与东盟建立面向和平与繁荣的战略伙伴关系,中国-东盟自由贸易区计划也已经启动,东盟还分别与中国以及中、日、韩三国确了“10+1”与“10+3”合作机制。
  中国-东盟贸易从1990年以来以年平均20%的速度增长,2004年中国与东盟国家贸易总额达1058亿美元,比上年增长35%。东盟成为继美国、欧盟、日本之后的中国第四大贸易伙伴,也是发展中国家里最大的贸易伙伴。2004年中国10大贸易伙伴中的6个位于东南亚,占中国贸易总额的一半以上。
  4月11日的东盟10国外长会议还宣布将在12月于马来西亚首都吉隆坡召开的首次东亚峰会,包括东盟与中、日、韩共13国。10国外长表示东盟应在东亚峰会中发挥核心和主要驱动作用。东盟外长表示要制定东盟宪章,以实现在2020年前建立东盟共同体的目标。
  作为在胡锦涛此行的第一站,文莱对中国的重要意义主要在于能源方面。文莱的石油储量和产量在东南亚仅次于印尼,同时是世界第4大液化天然气生产国。文莱可以加强双边合作,能源方面的合作也可以更上一层楼。
  中国驻文莱大使杨燕怡4月16日在接受文莱国内媒体采访时表示,此行中两国将签订多项协议,包括取消外交签证,以及信息通讯科技(ICT)、公共健康、能源和人员交流等方面的合作。在信息通讯科技方面,据悉深圳华为将就提供和运营3G系统与一个文莱公司签约。
  胡锦涛2004年在智利出席APEC会议期间与印尼总统苏希洛会谈中,已就两国建立战略伙伴关系达成共识。访问印尼期间,胡锦涛将与苏希洛签署联合宣言,建立中国印尼战略伙伴关系。
  据印尼国内媒体报道,中印战略合作伙伴关系协定将在中国和东盟2003年的战略合作伙伴关系协定基础上订立,包括在经济、社会、文化和安全事务等事项上的合作。印尼外交部发言人近期表示,双方的这一合作将不是排他性的,不针对任何第三国。
  沈骥如表示,中国和东盟已经建立了战略合作伙伴关系,作为东盟中有2亿人口的最大成员国,和印尼建立这一关系对于进一步密切合作有很大促进。
  菲律宾总统阿罗约近期曾表示,中菲关系正处于发展的黄金时期。中国和菲律宾已经达成战略性合作关系,去年阿罗约竞选连任总统后第一个访问的国家就是中国。
  沈骥如说,近年菲律宾由于长期的游击武装和恐怖活动制约了经济发展,这次访问有助于双方在反恐、社会合作和经济发展方面的合作。他说,阿罗约对菲军方在南海的一些过激行动还是有很多制约的。现在两国对和平解决纷争,共同开发南海资源已经有了共识。因此趁着亚非会议的东风,进一步发展中菲合作也是良好的契机。

星期日, 四月 24, 2005

Radio Australia - News - Philippines says Burma should not host ASEAN



ABC Radio Australia

Radio Australia - News - Philippines says Burma should not host ASEAN

[This is the print version of story http://www.abc.net.au/ra/news/stories/s1349990.htm]


Last Updated 20/04/2005, 23:19:39

The Philippine Senate has unanimously approved a resolution calling for the Association of Southeast Asian Nations (ASEAN) to strip Burma of the group's chairmanship next year.

The resolution says Burma should NOT assume the ASEAN chairmanship unless it complies with the principles of human rights law, particularly the freedom from house arrest of pro-democracy leader, Aung San Suu Kyi.

Burma is due to assume the rotating chairmanship of the 10-nation ASEAN next year.

The European Union and the United States have warned they will boycott ASEAN meetings, if Burma steers the grouping.

The issue has exposed divisions among ASEAN members Brunei, Cambodia, Indonesia, Laos, Malaysia, Burma, the Philippines, Singapore, Thailand and Vietnam.

Officials from the Philippines, Singapore and Malaysia have been calling for Burma not to be allowed to chair the group, but other members say that would be ignoring ASEAN's principle of non-interference in each other's internal problems.

ASEAN foreign ministers have deferred a decision on the chairmanship until July, when they will meet again for ministerial meetings in Laos.

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Radio Australia - News - Philippines says Burma should not host ASEAN

The Japan Times Online

The Japan Times Online
The Japan Times Printer Friendly Articles

INTEREST GROUPS HOLDING NATION ON LEASH
Japan settles for 'low-risk, low-return' FTA goals

By MAYUMI NEGISHI and KANAKO TAKAHARA
Staff writers

Prudish about bilateral free-trade agreements just five years ago, Tokyo is now fielding partnership requests from 25 economies and regional blocs.
But there is no denying an element of haphazardness in the way it is selecting some of the candidates.

Earlier this week, Tokyo agreed to launch a joint study on economic cooperation with Switzerland that includes a possible FTA.

"We're looking to Switzerland because, well, it's in Europe," a Foreign Ministry official who requested anonymity said when asked why the Alpine country was a potential partner. An agreement with Switzerland would offend no major lobby group, making it "low-risk, low-return," he explained.

His statement is one indication why Japan appears to be failing to effectively introduce a cohesive strategy in its FTA talks, according to Hajime Yamazaki, research fellow at Rakuten Securities Economic Research Institute.

"The FTAs with large economic benefits (for Japan) are also the most politically challenging and most likely to stall," he said.

By following the path of least resistance, Japan could end up with numerous watered-down FTAs that look good on paper, but are "neither harm nor cure" for the Japanese economy, Yamazaki said.

Economic partnership agreements have become more palatable to Tokyo, which fears being the odd man out at a time when 150 such partnerships were reported to the World Trade Organization in 2004, up from 31 in 1990.

According to officials at the trade and Foreign ministries, such agreements would give Japan better access to economic blocs emerging in Europe, North America, Southeast Asia and South America, enhance its presence in Asia, and simultaneously trigger domestic reforms by exposing protected industries to global competition.

But that plan is starting to look fuzzy.

Strong resistance at home -- ranging from farmers and steelmakers to leather craftsmen -- is stalling negotiations with key countries, including South Korea, which was Japan's third-largest trading partner in fiscal 2004, with some 7.2 trillion yen in imports and exports.

The government hopes to conclude a Japan-South Korea FTA by year's end, but officials tasked with the negotiations say the deadline is "impractical."

Stiff opposition is also keeping negotiations from taking off with other countries, including Australia, Japan's fourth-largest source of imports and a valuable supplier of oil, coal, iron ore and natural gas.

Two years of coaxing by Canberra have done little to overcome objections from Japanese farmers about opening the nation's doors to more beef, rice and dairy products from Down Under. And in talks with Australian Prime Minister John Howard on Wednesday, Prime Minister Junichiro Koizumi did not commit Japan to an FTA, but to two years of talks on discussing the feasibility of such a pact.

"Japan is sacrificing a good relationship with Australia for the sake of protecting farmers' vested interests," said Shujiro Urata, a professor of sociology at Waseda University.

Tokyo has two FTAs in place: one with Singapore, which went into effect in November 2002, and another with Mexico, in effect since April 1. It reached a basic agreement with the Philippines in November and hopes to do the same with Malaysia and Thailand within the next few months.

Meanwhile, China, which has agreed to launch FTA talks with Australia, is increasingly becoming a factor to be reckoned with in Tokyo's FTA negotiations.

Foreign Ministry officials say Beijing places great importance on FTAs as a means of gaining greater political clout within Asia. China's political structure also enables it to make key decisions quickly.

"It takes time for Japanese officials to make decisions," a high-ranking Foreign Ministry official said.

The "China card" is now being flaunted by opposing negotiators. Representatives of the 10-member Association of Southeast Asian Nations tell Japan during FTA talks that Beijing is more eager for an FTA with ASEAN, he said.

One entity should be given ultimate decision-making power to speed up talks, override objections from individual ministries and coordinate trade agreements with domestic reforms, trade officials and business groups agree.

At the same time, however, one trade official said he would not want that body to be the Foreign or agriculture ministry.

Motoshige Ito, economics professor at the University of Tokyo, agrees with the need for Japan to link FTAs with domestic reforms.

Reforms are necessary to make overly protected sectors like agriculture more internationally competitive, he said.

Some Japanese farmers and fishermen have been successful in exporting high-price, high-quality produce, but they are still exceptions.

Glacially slow deregulation, heavy subsidization and a ban on private firms owning farmland leave few incentives for innovative or productive farming, Ito said.

Last month, the Agriculture, Forestry and Fisheries Ministry announced plans to consolidate small farms into groups of 30, doubling the number of incorporated farms from the current 10,000, and encouraging more large-scale farming by 2015. But the ban on private firms' ownership of farmland remains.

"Farm reforms are taking place," said one high-ranking Ministry of Economy, Trade and Industry official who participates in FTA negotiations. "But other countries are reforming faster, and Japan is falling behind."

Coordination is also needed if Japan is to use bilateral FTAs to complement a more comprehensive trade pact under the auspices of the WTO. The 148-member body hopes to conclude negotiations on a new global trade agreement by the end of 2006.

"Japan has a vague strategy (of how it should utilize FTAs), but it's shabby when it comes to the nitty-gritty details," Waseda University's Urata said.

The Japan Times: April 22, 2005
(C) All rights reserved

People's Daily Online -- FTA talks may lead to trading bloc in Asia

People's Daily Online -- FTA talks may lead to trading bloc in Asia
Home >> World
UPDATED: 13:28, April 22, 2005
FTA talks may lead to trading bloc in Asia



Prospects of free trade in Asia are promising as a dazzlingly complicated network of free trade deals is expanding.

Nations on the continent have signed dozens of agreements about bilateral or multilateral free trade agreements (FTA) and they are in talks for more.

Asia's three biggest economies - China, Japan and the Republic of Korea (ROK) are all in respective talks with the Association of Southeast Asian Nations (ASEAN) about FTA.

What is more exciting is that the respective FTA deals the three countries are involved in might end up in a trade bloc that includes the three of them as well as ASEAN countries.

Experts mandated by governments earlier this week have begun a study looking at the building of a free trade area that covers the 13 nations.

The FTA could be even bigger because both Australia and New Zealand have expressed intentions to join FTA deals with the so-called 10 plus 3 countries.

South Asian countries have also signed a number of FTA deals.

Between East Asia and South Asia, China and Pakistan have started FTA negotiations; China and India also pledged to build a FTA.

However, there are still no signs that such an FTA that covers China, Japan and the ROK could emerge any time soon.

As the biggest economies in the region, their close economic ties would be very favourable for economic co-operation of the entire region, said Xu Changwen, a senior researcher with the China Academy of International Trade and Economic Co-operation, a think tank under the Ministry of Commerce.

Both China and ROK are willing to build an FTA among the three, but Japan has shown less commitment.

"Japan's attitude is the key. It does not intend to have talks with China soon," said Jiang Ruiping, a professor at China Foreign Affairs University.

"It (Japan) puts lots of emphasis on the fact that China is a new member of the World Trade Organization (WTO). It wants to see how well China can adjust to its WTO membership."

Openly, Japanese officials have also disclosed their roadmap for their pursuit of free trade with regional trading partners.

Last year, they finished talks with Singapore. Now they are in talks with ROK, some ASEAN countries individually and ASEAN as a whole.

China seems to be at the very bottom of Japan's namelist.

The benefits of a three-way FTA for Japan are obvious because its enterprises are the strongest in the three countries. In fact, Japanese enterprises lobbied very hard for it.

Zhao Jinping, a veteran Japan expert with the State Council's Development Research Centre, said the Japanese Government does not want to engage in direct FTA talks with China partly because it is wary about the latter's emerging economic power.

Japan also worries that FTA talks with China and ROK would force it to open up its agricultural market, which is a very sensitive sector for Japan.

Closer co-operation needed

In view of their uncertain FTA prospects, China, Japan and ROK should seek to take more orchestrated actions in international economic affairs, Zhao said.

The three economies have increasingly more in common in terms of industrial structure, so they should have closer co-operation in sectors such as energy and steel and on issues such as standards of information technology products.

The recent international disputes over ore prices highlighted the need for co-ordination among the three. Like many issues concerning international trade, being in a bloc puts a trading nation in a better position than being alone in the negotiations, Zhao said.

In fact, China, Japan and ROK all have strong steel industries and are all big ore importers. They will definitely have a bigger say in negotiations if they joined forces.

Within Northeast Asia, strengthening trade ties among the three countries also demands more consultation and discussion.

Mechanisms have been set up for three-party talks on issues such as public finance, macroeconomic management, finance and quarantine.

In the non-governmental sectors, exchanges between industry associations and enterprises from the three countries are also increasing.

Source: China Daily


Report: Malaysian leader urges China and Japan to make amends

Report: Malaysian leader urges China and Japan to make amends
Saturday April 23, 6:10 PM
Report: Malaysian leader urges China and Japan to make amends
Malaysia's leader on Saturday urged Beijing and Tokyo to resolve their dispute over Japan's wartime past and violent anti-Japanese protests in China, a news report said.

Prime Minister Abdullah Ahmad Badawi also said he believed Japanese Prime Minister Junichiro Koizumi's apology on Friday for his country's wartime atrocities had been generally well received, the national news agency Bernama reported.

Relations between China and Japan have plunged to a three-decade low, with massive anti-Japanese protests erupting in several Chinese cities over Japanese textbooks critics say gloss over Tokyo's past militarism and its bid for a permanent seat on the U.N. Security Council.

Speaking earlier Saturday at the Boao Forum on the southern Chinese island of Hainan, the Malaysian premier added that it was important to remember the bigger picture.

"For that, China and Japan must move on in their cooperation for the development of East Asia and play their part in the bigger process and platform of ASEAN+3," he was quoted as saying, referring to a grouping which includes the Association of Southeast Asian Nations and China, Japan and South Korea.

Koizumi and Chinese President Hu Jintao are due to meet Saturday on the sidelines of the Asian-African Summit in Jakarta in an effort to defuse the tensions, officials said. ADVERTISEMENT



Abdullah, who is now at the Jakarta summit, said he was confident that the leaders of China and Japan would be able to sit down together and resolve their differences.

"We in ASEAN certainly value not only peace and stability in the Southeast Asia region but also in East Asia and also the Pacific," Bernama quoted him as saying

Howard pledges commitment to Asia - Breaking News - http://www.smh.com.au

Howard pledges commitment to Asia - Breaking News - http://www.smh.com.au

Anti-Japan Protests Make Asean More Attractive :: Bernama.com

Anti-Japan Protests Make Asean More Attractive :: Bernama.com
Bernama.com
Malaysian National News Agency

Anti-Japan Protests Make Asean More Attractive
Business
April 23, 2005 13:23 PM

From Mohd Arshi Daud

TOKYO, April 23 (Bernama) -- Asean's attraction as an investment destination for Japanese companies has somewhat been boosted by the anti-Japan protests in China in recent weeks, said secretary general of Asean-Japan Promotion Centre on Trade, Investment and Tourism, Nobutoshi Akao.

"China is a big and important market. But the strong anti-Japan feeling only raise the risk of investment in China.

"If this continues, the tendency for Japanese companies considering Asean countries as a very important alternative for investment will increase," he said here.

Speaking to Bernama on the sidelines of a trade and investment mission led by International Trade and Industry Minister Datuk Seri Rafidah Aziz, Akao said that there were already concerns over Japanese companies' investment in China and complaints over the infringement of intellectual property (IP) rights in that country.

"China is strengthening its IP regulations but the problem is still enforcement."

"A Jetro (Japan External Trade Organisation) survey reveals that Japanese companies incurred US$1 billion of losses each year in China due to infringement of patents, copyrights, trademarks and others," Akao said.

Malaysia, he said is one of the top investment locations for Japanese companies due to its excellent infrastructure, educated and hardworking labour and pro-business policies.

"Your government has been very cooperative and quick in resolving problems faced by Japanese companies," he added.

-- BERNAMA



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Herald Sun: Howard snubbed at Asia summit [24apr05]

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Howard snubbed at Asia summit
By MALCOLM FARR in Boao, China
24apr05

MALAYSIA yesterday used Asia's most distinguished economic gathering to reinforce its veto on Australia attending a regional summit.

With Prime Minister John Howard listening in the front row, Malaysia's Abdullah Badawi itemised why we should be barred from the East Asia Summit later this year.
He was addressing the Boao annual economic forum where he and Mr Howard were the opening speakers.

Mr Howard used the forum to declare Australia was working in Asia and was not going away.

"We are together forever in this part of the world," he told the forum of political and business leaders.

However, comments by the Malaysian Prime Minister jarred with this.

In what was seen as a reference to Australia's close ties with the US, Mr Badawi said summit members could not "seek common cause" with powers outside the Asian community.

He also said summit members would have to sign a Treaty of Amity and Co-operation. Australia has refused to do so.

Mr Badawi later said Australia had not been the target of his references to outsiders, or to the Treaty of Amity and Co-operation.

"It is a matter of principle that I suggested it," he said of his reference to outsiders.

"It was not particularly a reference to anyone."

Of the treaty he said: "When I was in Australia (two weeks ago), Prime Minister John Howard did mention to me about it.

"But what I just mentioned was a reference to a decision made by the foreign ministers of ASEAN when they met recently in the Philippines."

Australia has argued it should be an inaugural member of the summit, which so far will include the 10 members of the Association of South East Asian Nations (ASEAN) plus China, Japan and Korea.

Japan supports Australia and China has been "positive", but Malaysia has opposed the entry.

Yesterday, Mr Badawi highlighted Australia's refusal to sign the treaty, saying it was needed to ensure security interests were "intertwined".



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Herald Sun: Howard snubbed at Asia summit [24apr05]

FTA talks may lead to new trading bloc

FTA talks may lead to new trading bloc
The Star Online > Asia


Saturday April 23, 2005
FTA talks may lead to new trading bloc

PROSPECTS of free trade in Asia are promising as a dazzlingly complicated network of free trade deals is expanding.

Nations on the continent have signed dozens of agreements about bilateral or multilateral free trade agreements (FTAs) and they are in talks for more.

Asia’s three biggest economies – China, Japan and South Korea – are all in respective talks with the Association of South-East Asian Nations (Asean) about FTAs.

What is more exciting is that the respective FTA deals the three countries are involved in might end up in a trade bloc that includes the three of them as well as Asean countries.

Experts mandated by governments earlier this week have begun a study looking at the building of a free trade area that covers the three countries and the 10 nations in Asean.

The FTA could be even bigger because both Australia and New Zealand have expressed interest in the talks.

South Asian countries have also signed a number of FTA deals.

Between East Asia and South Asia, China and Pakistan have started FTA negotiations; China and India also pledged to build a FTA.

However, there are still no signs that such an FTA that covers China, Japan and South Korea will emerge any time soon.

As the biggest economies in the region, their close economic ties would be very favourable for economic co-operation of the entire region, said Xu Changwen, a senior researcher with the China Academy of International Trade and Economic Co-operation, a think-tank under the Commerce Ministry.

Both China and South Korea are willing to build an FTA among the three, but Japan has shown less commitment.

“Japan’s attitude is the key. It does not intend to have talks with China soon,” said China Foreign Affairs University professor Jiang Ruiping.

“It (Japan) puts lots of emphasis on the fact that China is a new member of the World Trade Organisation (WTO). It wants to see how well China can adjust to its WTO membership.”

Openly, Japanese officials have also disclosed their roadmap for their pursuit of free trade with regional trading partners.

Last year, they finished talks with Singapore. Now they are in talks with South Korea, some Asean countries individually and Asean as a whole.

China seems to be at the very bottom of Japan’s list.

The benefits of a three-way FTA for Japan are obvious because its enterprises are the strongest in the three countries. In fact, Japanese enterprises lobbied very hard for it.

Veteran Japan expert Zhao Jinping of the State Council’s Development Research Centre said the Japanese Government did not want to engage in direct FTA talks with China partly because it was wary about the latter’s emerging economic power.

Japan also worries that FTA talks with China and South Korea would force it to open up its agricultural market, which is a very sensitive sector for Japan. – China Daily
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ASEAN, S. Korea start FTA talks


By BERNIE CAHILES-MAGKILAT


The Association of Southeast Asian Nations (ASEAN) and South Korea have started negotiations for the proposed free trade agreement that calls for zero tariffs for 80 percent of both parties’ total tariff lines by 2009.


Trade and Industry Senior Undersecretary Thomas G. Aquino said the Philippines participated in the initial trade negotiations for the proposed ASEAN-Korea Free Trade Agreement (AKFTA) held in Jakarta recently.

The next round of negotiations is scheduled this month in Seoul where the scope of the proposal should be finalized before the scheduled ASEAN Summit.

Aquino described the AKFTA as the most ambitious among all the ASEAN engagements.

"Of all the ASEAN engagements, the ASEAN-Korea FTA is the most ambitious in the sense that 80 percent of tariffs will be at zero by 2009. With this, the Philippines has to fasttrack the work done usually in three years, at least based on the ASEAN-China FTA negotiations," Aquino said.

The next round of negotiation is scheduled in mid-April in Seoul, South Korea where the details of the agreements to be finalized before the scheduled ASEAN Summit will be discussed.

The initial meeting was an offshoot of the ASEAN-Korea Summit in November last year in Vientiane, Laos where the leaders agreed to launch the negotiations in early 2005 for the AKFTA.

The staged approach to the proposed FTA, whereby certain areas like trade in goods would be negotiated and concluded in advance of other more sensitive areas such as services and investments, will be adopted for the AKFTA negotiations.

Negotiations for trade in goods will commence in 2005 followed by services and investments in 2006. Separate agreements will be negotiated in each of the three areas.

For the current year, the delivera-bles include the finalization of the Framework Agreement on Comprehensive Economic Partnership between ASEAN and Korea, the Trade in Goods Agreement, Rules of Origin for the AKFTA and Agreement on Dispute Settlement Mechanism.

All these have to be completed in time for the ASEAN-Korea Summit in October 2005.

"The Framework Agreement on Comprehensive Economic Partnership serves as an enabling document to bind other Member Countries to other aspects of the FTA since negotiations will be undertaken on a staged approach" Secretary Santos said.

"The approach assures both sides that the outstanding issues would also be addressed after the first phase of the negotiations is completed", Aquino said.

The Trade in Goods Agreement will include the agreed modality for tariff reduction and elimination between ASEAN and Korea.

Aquino said an important element of the negotiations in trade in goods is the Rules of Origin that will provide specific guidelines on the determination of originating goods from ASEAN and Korea and whether these could be accorded preferential rates within the AKFTA.

Preferential origin rules must be developed to prevent third country imports from taking advantage of the concessions that were agreed upon by ASEAN and Korea in the AKFTA.

Rules with respect to the avoidance or settlement of disputes between ASEAN and Korea concerning their rights and obligations under the AKFTA will also be required with the substantive concessions on goods in place.

ASEAN member countries’ exports to South Korea increased by 156 percent from $6.125 million in 1993 to $15.702 million in 2002. Top five exports include mineral products, machinery and electrical appliances, chemicals, wood and wood articles, and plastics.

The regional trade bloc’s imports from South Korea likewise grew by 107 percent from $7.148 million in 1993 to $14.830 million in 2002 with machinery and electrical appliances, base metal and metal products, mineral products, chemicals, and textile and apparels as top five imports.

On a bilateral level, South Korea remained as one of the Philippines’ top ten trading partners for the last five years (19992003).

Two-way trade between the two countries increased by 0.18 percent annually. South Korea also ranked as the country’s seventh biggest trading partner, ninth largest export market and fourth largest import supplier in 2003.

Semiconductor devices remain as the country’s top export product to South Korea, with exports amounting to $691 million in 2003 or 52.73 percent of the total exports.

Other top exports to South Korea were: parts and accessories of automatic data processing machines, $73 million or 5.59 percent; refined copper cathodes, $65 million or 4.95 percent; storage units, $55 million or 4.18 percent; and petroleum naphtha, $38 million or 2.92 percent.

Top imports, on the other hand, include semiconductor components & devices, $483 million; cellular phones worth $249 million; other material & accessories, for the manufacture of semiconductor devices, $132 million; dice of any material, $111 million; and parts and accessories of automatic data processing machines, $110 million.

South Korea’s investments in the Philippines amounted to $712.2 million, making up for 3.7 percent of the total amount of foreign investments in 2003. Investments range from the sectors of IT-services, manufacturing, fishery and agriculture.

The Philippines and South Korea entered into a trade agreement on 24 April 1978 that was ratified on 30 September 1978. The exchange of notes of ratification was done on 6 November 1978. The treaty is operational. The two countries also signed the Philippine-Korea Investment Agreement on April 7, 1994.

In the multilateral level, South Korea has an agreement for liberalized trade among the less developed member-countries of the ESCAP (Indonesia, Laos, Philippines, Indonesia, Thailand, Bangladesh, Pakistan).

This agreement provides for tariff concessions on some commodities including agricultural items, manufactured goods, chemicals and minerals.




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星期六, 四月 23, 2005

Integration helps deliver Asian dream

Integration helps deliver Asian dream
Integration helps deliver Asian dream
China Daily Updated: 2005-04-23 06:04



The Annual Report 2005, released yesterday at Boao Forum for Asia in South China's Hainan Province, depicts a phenomenal trend to which not only Asian nations but also the rest of the world must adapt.

More evident than ever, the economic integration is promoting the upgrading of Asia into an increasingly important player in the world economy.

It is a remarkable achievement that developing Asian economies have increased their share in the world aggregate GDP from 15 per cent in 1990 to 23.8 per cent in 2003. The continent produced 38 per cent of world output that year.

More amazing is the prospect that, if the growth momentum continues, Asia as a whole will soon contribute nearly half of the world output.

Surely, this will represent an unprecedented shift in the focus of the world economy in modern historical terms.

However, for Asian nations to ride the trend, it is more important to understand the driving force behind it rather than simply to take it for granted.

A strong desire shared by the Asian people to accelerate economic development and social progress is most certainly one of the underlying causes of the emergence of Asia in recent years.

But as the report noted, the growth in the share of Asian economies in world trade and output was not uniform across the area over the last 20 years. The largest increase in output and trade share accrued to East Asian countries.

Robust growth of the Chinese economy has fed through to the rest of East Asia to a degree, which explains the disparity in the pace of growth between various parts of the continent.

Yet, the more fundamental reason lies in the impressive expansion of East Asian intra-trade based on the growing symbiosis of export and import composition of countries in the group.

It is noteworthy that East Asian intra-regional trade grew even more rapidly than its global trade; its intra-trade share in world trade went up threefold from 2.2 per cent to 6.5 per cent over 1985-2001.

The fact that trade between China and individual East Asian countries is considerably greater than what should be expected based on their proximity and relative size in world trade reflects a growing interdependence between them. That is clearly a result of the active participation of these countries in the international vertically integrated production sharing across Asia.

This is an important finding that all Asian nations should take to heart if the growth miracle of Asia will be sustained to deliver common prosperity.

Although the success of the last 20 years does not guarantee smooth sailing for the Asia economy in the coming decades, the experience accumulated in one part of the continent should allow Asian nations to learn from and contribute to one another.

A key message the report has helped drive home is that co-ordinated policy approaches are essential to the emergence of integrated international production systems in Asia.

Rapid development will spread across Asia only when greater economic and political co-operation strengthen trade ties in both multilateral and regional frameworks.


(China Daily 04/23/2005 page4)

China's rise drives region's emergence

China's rise drives region's emergence
China's rise drives region's emergence

Updated: 2005-04-23 09:04


China's rise is just part of a bigger Asian story. And the rise of Asia is giving vital impetus to the world economy as well as providing a new model of peaceful coexistence that overcomes social and cultural differences, Chinese and foreign officials and policy advisors said at a high-level conference here on Friday.

"In today's world, China is not the only country that is rising peacefully. China's emergence is part of Asia's emergence," said Zheng Bijian, chairman of the China Reform Forum, at the conference titled, "China's peaceful rise and the new role of Asia." Zheng's forum, the Boao Forum for Asia and the New York-based Asia Society co-organized the conference.

Zheng said the East Asia region, which mainly covers China, Japan, the Republic of Korea, and the Association of Southeast Asian Nations, is responsible for a considerable part of global economic growth and has shown great development potential. And South Asia, led by India, is fast catching up.

The region's collective reactions to a series of crises since 1997 have shown that co-operation in East Asia has surmounted, is surmounting and will surmount cultural and social differences, Zheng said.

Speakers at the conference said that Asia's development has defied traditional scenarios for an emerging country or region.

"Perhaps the strongest reason for optimism (over the region) is that it is no longer true that rising powers must inevitably confront existing powers in either an acrimonious rivalry or in overtly belligerent competition," said Michael Rich, executive vice-president of Rand Corp, a US-based think tank.

Fortunately, many nations around the globe, particularly here in Asia, have demonstrated there is a superior way to create prosperity and power: through indigenous and mutual reinforcement of economic growth, Rich said.

In the case of China, its "dramatic growth in global stature has come from its peaceful economic development, the government's decisiveness in managing difficult development problems, and the consequent improvement in the lives of its citizens, not from its military power or geopolitical assertiveness," he said.

Jerome Monod, chief political advisor to French President Jacques Chirac, offered his observations on China's emergence.

China's rise has come about through participation in economic globalization, competition with others in the world market and recognition of a world system that is mutually beneficial to all, he said.

"I believe China's peaceful rise is something to emulate and not to fear. This indeed, is unquestionable for me," he added.

But why does China want its development to be peaceful? Lee Kuan Yew, respected statesman and Singapore's Minister Mentor proffered an explanation.

He said China's leaders since Deng Xiaoping have experienced all or a large part of China's tumultuous history over the past century and know very well the costs of conflict and confrontation, domestic or international.

But China's path of future development will not be smooth. There are still many problems to deal with, participants agreed.

Zheng said the major challenges China faces include energy shortages, environmental problems, and the conflict between short-term goals such as technology upgrades, job creation, reform and stability.

China's answer to these problems is a set of strategies that include the promotion of more efficient industrial growth; active participation in economic globalization and continuous social reforms, he said.

Jia: Building harmonious, prosperous Asia

Jia: Building harmonious, prosperous Asia
Home>News Center>China
Jia: Building harmonious, prosperous Asia
(Xinhua)
Updated: 2005-04-23 13:47


BOAO, Hainan -- Chinese top state advisor Jia Qinglin Saturday called on Asian countries to promote cooperation in building a harmonious and prosperous Asia.

China "is committed to developing good-neighborly relationship and partnership" with other Asian countries for this purpose, said Jia, chairman of the National Committee of the Chinese People's Political Consultative Conference, in a keynote speech at the opening of the 2005 annual conference of the Boao Forum for Asia (BFA).

Jia told the audience of more than 1,200 political leaders, business people, experts and scholars that China is committed to developing good-neighborly relationship and partnership by constantly deepening friendly relations and mutually beneficial cooperation with other Asian countries.

The celebrities attending the annual conference, held in this coastal town of southernmost China's Hainan Province, include Australian Premier John Howard, Austrian Chancellor Wolfgang Shussel, King Gyanendra of Nepal, Afghanistan Vice President AbdulKarim Khalili, Singapore Minister Mentor Lee Kuan Yew and Acting Chief-Executive Donald Tsang Yam-kuan of the Hong Kong Special Administrative Region.

"Right now, Asia is faced with a historic opportunity for development," as all Asian peoples share the aspiration for peace,stability, development and cooperation, said Jia.

Against the backdrop of surging economic globalization, many Asian countries have succeeded in restructuring their economies, accelerated their industrial upgrading, increased the level of science and technology and maintained the development momentum.

In the process of regional integration, the Asian countries have found themselves increasingly interdependent through closer dialogue and coordination, visibly improved capacity of fending off risks with a burgeoning regional network of cooperation, he said.

However, Jia said, Asia is also faced with numerous difficulties and challenges. "Historical disputes and present conflicts are eroding the mutual trust among certain countries. Traditional and non-traditional security threats, ranging from regional hot-spots and terrorism to transnational crimes are intertwined to render Asia insecure."

Other problems, such as ecological degradation, natural disasters, communicable diseases and widening wealth gap are also drags on Asia's development, Jia said.

Facing both opportunities and challenges, Jia suggested, "we should build a harmonious Asia where countries coexist in amity politically, conduct equal-footed and mutually beneficial cooperation economically, trust one another with close coordination on security matters, and complement each other culturally."

Jia said that Asian nations should endeavor to maintain peace and stability, promote common development, push forward comprehensive cooperation, and respect diversity.

Referring to the achievements China has made over the past 20 years, Jia said China has established a socialist market economy system while the Chinese people are on the whole enjoying a life of moderate prosperity along with progress in all social undertakings in the country.

"China's development is closely linked with Asia's prosperity,"Jia emphasized.

As the largest importer in Asia, China has begun to show its potential as a new major investor and source of outbound tourists.Dedicated to promoting multilateral security cooperation in the region and facilitating peaceful settlement of regional hot-spots,China has made a contribution to peace and stability in the region.

China has also contributed to the regional integration by actively participating in Asia-based regional economic cooperation,he added.

"China's development is a peaceful one. Deeply seated in China's history is a cultural tradition that honors promises and promotes harmony among all nations. The humiliation and bullying they were subjected to in the past have made the Chinese people cherish all the more dearly their sovereignty, peace and stability," said Jia.

At present, development is of overriding importance. China willstay on the path of peaceful development, devoting all of its resources to development.

"There is neither reason nor possibility for us to threaten anyone," he said, adding that China will never seek hegemony even if it gets more developed in the future. "This is our solemn pledge that will never change."

A stable, open and prosperous China is bound to make even greater contribution to peace and development in Asia, Jia said.

The opening ceremony of 2005 BFA annual conference was presidedby BFA General-Secretary Long Yongtu. Chairman of the BFA board Fidel Ramos delivered a welcoming speech. The theme of the annual event is Asia Searching for Win-Win: New Role of Asia.

China, Australia agree to free trade talks

China, Australia agree to free trade talks

Home>News Center>World
China, Australia agree to free trade talks
(Agencies)
Updated: 2005-04-18 22:09


BEIJING - China and Australia signed an agreement to begin negotiations on a free trade pact, with visiting Prime Minister John Howard also announcing Canberra's recognition of China as free market economy.

A memorandum of understanding on the free trade talks was signed following a meeting between Howard and his counterpart Wen Jiabao in the Great Hall of the People in central Beijing.


China's President Hu Jintao (R) talks with visiting Australia's Prime Minister John Howard during a meeting at the Great Hall of the People in Beijing April 18, 2005. [Reuters]

"Australia has decided to recognize China as a complete market economy," Howard was quoted by China Central Television as telling Wen.

"We hope to begin negotiations on a free trade agreement and deepen economic and trade cooperation."

Wen said China was willing to move forward with the free trade process, but also underscored the need to build up more political trust between the two countries and seek to consult each other on regional security issues, the report said.

"Under the complex international situation, the deepening of Sino-Australian relations is not only in the fundamental interests of the peoples of the two countries, but is also in the interests of peace and stability in the Asia Pacific region," Wen was quoted as saying.

Howard arrived in China for a visit Monday, expressing caution over the prospects for a free trade deal with Asia's fastest growing economy.

Canberra has insisted that any agreement be comprehensive, with no sensitive sectors excluded, and in return agreed to recognise that Beijing had reached "market economy" status.

The status is crucial for China's World Trade Organization undertakings as it will give Beijing a better basis to negotiate trade disputes.

"I realize the importance of Australia recognizing the market economic status of China," Howard said in late talks with President Hu Jintao.

"The agreement that the premier and I reached is historic. It is the first agreement to negotiate an FTA between China and a fully developed country."

Hu also praised the agreement, saying the deal was in the interests of both.

In remarks before his departure for China, Howard sought to lower expectations that a deal was inevitable.

"I want to stress that whatever happens on the free trade agreement front, Australia has a huge and positive and growing trade relationship with China," he told reporters in the northern city of Darwin.

"That sort of relationship can go on, but if we can improve it and make it even better by reaching a free trade agreement, well, we certainly intend to do so."

Even without any deal, China would remain a massive market for Australia's mineral resources, said Howard.

According to Chinese statistics, two way trade between China and Australia reached nearly 20.4 billion dollars in 2004, up 50 percent from the year earlier and double the figure in 2002.



China is now Australia's third largest trading partner.

In 2004, Australia's exports to China grew to 12 billion Australian dollars (9.3 billion US), with resources accounting for about 60 percent, Australian statistics show.

Last week Australia agreed to negotiate a free trade deal with Malaysia while it already has FTAs with Thailand, Singapore, the United States and New Zealand.

Howard's two-leg China trip, from April 18-24, will be broken up by a visit to Tokyo starting on Tuesday. Howard is expected to be back in China on April 22 to attend the annual Boao Forum for Asia in southern China's Hainan province.

The visit is his fifth trip to China as Australia's prime minister.




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Agreements pave way for China-Australia FTA

Agreements pave way for China-Australia FTA


Home>News Center>China
Agreements pave way for China-Australia FTA
By Hu Xiao (China Daily)
Updated: 2005-04-19 06:43



China and Australia yesterday signed a Memorandum of Understanding (MOU) to formally start negotiation on a free trade area (FTA) following Australia's recognition of China's full market economy status.

It was signed by Minister of Commerce Bo Xilai and Australian Ambassador to China Alan Thomas after talks between Premier Wen Jiabao and his Australian counterpart John Howard at the Great Hall of the People in Beijing.


China's President Hu Jintao (R) talks with visiting Australia's Prime Minister John Howard during a meeting at the Great Hall of the People in Beijing April 18, 2005. [Reuters]


This makes Australia the second developed country in Oceania, after New Zealand, to grant full market economy status and open free trade negotiations with China.

"The MOU is of great significance politically as well as economically," said Shen Shishun, an Australia studies expert at the China Institute of International Studies.

Australia is now the largest developed country seeking to reach a free trade agreement with China, which has been trying to establish deals with the 10-member Association of Southeast Asian Nations (ASEAN), the six-member Gulf Co-operation Council and the five-member South African Customs Union, Chile, Pakistan and New Zealand.

Shen said Australia's formal recognition of China's full market economy status will help China win equal treatment worldwide, a designation that eases the burden on China in confronting anti-dumping actions in export markets.

"The agreement will also help Australia to further enlarge its influence in Asia," said Shen.

During yesterday's talks with Howard, both President Hu Jintao and Premier Wen expressed hopes that both sides can pursue the establishment of free trade under the guidelines of mutual sympathy, mutual understanding, flexibility, pragmatism, and mutual benefit.

Wen also stressed that China welcomed Australia to play an active role in East Asia.

Describing the signing of the MOU as a milestone in bilateral ties, Howard vowed that Australia will actively participate in free trade negotiations with China.

A study by both countries shows that Australia will benefit by more than US$15 billion over the next 10 years from such a deal, the Australian Associated Press reported.

"The two economies are very much complementary and this (free trade) will certainly raise their competitiveness," said Shen.

There may be some difficulties, he added, but the two sides should adopt long-term strategies towards their mutual aim.

Australian mining concern BHP Billiton recently imposed a 71.5 per cent price rise on its iron ore exports, arousing concern from the mainland, Australia's biggest iron ore importer.

He Yafei, director of the Department for North America and Oceania at the Foreign Ministry, told Australian media before Howard's visit that while the increase was a commercial matter, Canberra "can certainly encourage companies to take a long-term point of view in setting prices... don't just look at the benefits under their noses."

China is now Australia's third largest trading partner, second largest export market and second largest origin of imports.

Chinese figures show that two-way trade reached US$20.39 billion in 2004, up 50.3 per cent from the year before and double the 2002 figure.

Howard will leave today for Japan before traveling to the southern Chinese island of Hainan later this week for the Boao Forum for Asia where he is expected to make a keynote address.


(China Daily 04/19/2005 page2)




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星期五, 四月 22, 2005

Chinese, Japanese premiers come courting India

Chinese, Japanese premiers come courting India
Home > India News Posted on 08 April 2005

Chinese, Japanese premiers come courting India

New Delhi : It is a measure of the emergence of India as a rising economic giant that this month will see almost back to back visits by leaders of the world's fastest growing economy and its second largest.

While Chinese Premier Wen Jiabao arrives in India over the weekend, beginning his visit - like so many other leaders - from the nation's hi-tech capital in Bangalore, Japanese Prime Minister Junichiro Koizumi comes here in the last week of the month to build on growing trade and economic ties.

If China is the world's fastest growing economy, registering an average growth rate of nine percent during the last two decades, the Japanese economy has recovered from bouts of recession to retain its position as the world's second largest after the United States.

India, on the other hand, has progressively unshackled its economy from bureaucratic controls since 1991 to become one of the fastest growing economies with an average growth rate of over six percent in recent years.

The visits by the Chinese and Japanese leaders reflect the realisation in New Delhi, Beijing and Tokyo that in cooperation rather than confrontation lies the good of all.

India and China have already put aside their protracted border dispute while pushing enhanced economic and trade ties.

With bilateral trade ballooning from a mere $1.5 billion in 1998-99 to cross $13.6 billion last year, both countries are now looking at a target of $25-30 billion in the next five years, Indian officials said.

According to Chinese Ambassador Sun Yuxi, China and India - accounting for a third of the world population between them - are discussing a free trade agreement. "If this is achieved it will be the largest free trade area anywhere in the world," he said.

Officials involved in negotiating various agreements with the Chinese and Japanese said trade and economic cooperation would be the main thrust areas.

Japan, which has been unsure of the direction of India's economic orientation and had shied away from investing in the country, appears to have realised that New Delhi's economic reforms are irreversible.

Like the rest of the world, the Japanese have set aside reservations about India's nuclear policy and lifted punitive sanctions of 1998.

The Japanese prime minister's visit is seen as a signal to the country's business, which takes the cue from the government, that India is a promising investment destination.

Visiting Japanese officials acknowledged that by being over cautious, they might have missed the bus in India where South Korean and other investors have done extremely well.

The potential for India-China-Japan cooperation has been discussed at various forums and terms like "axis" and "alliance" have all been applied to the concept.

In an article titled "China-Japan-India axis strategy, an all round economic and political cooperation", Feng Zhaokui, a research fellow at Japan Research Institute of the Chinese Academy of Social Science, discussed the possibility of political, economic and security cooperation among the three countries.

Liu Xuecheng, a researcher with the China Institute of International Studies, in a paper on the same subject said in the present and future Asian cooperation, China, Japan and India shoulder historic responsibilities.

They need mutual cooperation and coordination though thorny problems still exist. The three countries need to dispel doubts, enhance trust and avoid negative competition, Liu said.

--(c) Indo Asian News Service

China, Brunei issue joint statement on promotion of cooperation Xinhua - English

Xinhua - English
China, Brunei issue joint statement on promotion of cooperation

www.chinaview.cn 2005-04-21 22:57:45


BANDAR SERI BEGAWAN, Brunei, April 21 (Xinhuanet) -- China and Brunei issued a joint press statement Thursday, calling for expansion of all-round cooperation between the two countries.

The statement was issued here at the end of Chinese President Hu Jintao's two-day state visit to Brunei.

It said that during his state visit, the Chinese president heldtalks with Sultan Haji Hassanal Bolkiah and other leaders of Brunei and the two sides had an exchange of views and reached broad common understanding on bilateral relations and international and regional issues of common interest.

According to the statement, both sides expressed satisfaction with the excellent progress of bilateral relations since the establishment of diplomatic relations in 1991, and recognized the friendly and effective cooperation between the two countries in the political, economic, cultural, educational, health, legal, defense and other fields.

Both sides reiterated their adherence to the principles of mutual respect for sovereignty and territorial integrity and non-interference in each other's internal affairs and their desire to push forward the development of China-Brunei good-neighborly relations and friendly cooperation.

The two leaders welcomed the establishment of the Brunei-China Friendship Association as another channel for deepening understanding and expanding linkages.

Both sides agreed to enhance economic cooperation and further expand trade and two-way investment, and recalled a commitment to reach a bilateral trade target of 1 billion US dollars by 2010.

Both sides expressed their willingness to maintain long-term cooperation in the energy sector and further strengthen cooperation in transportation, telecommunications and infrastructure.

Both sides recognized the significance of the tourism sector ingenerating economic and employment opportunities.

The two leaders welcomed the Exchange of Notes on Mutual Visa Exemption for Diplomatic, Official and Service Passport Holders and agreed that this will facilitate the work of officials from both sides and enable them to work more closely together.

Both sides agreed to intensify bilateral cooperation in the field of health, and welcomed the Plan of Action on Health Cooperation signed by the health departments of the two countries for the period from 2005 to 2007.

The Brunei side reiterated its adherence to the One China policy, and expressed its appreciation of and support to China's effort for peaceful national reunification, peace and stability inthe Taiwan Straits and in Asia-Pacific.

Both sides highly valued the positive development of friendly relations between China and the Association of Southeast Asian Nations (ASEAN) in recent years, and reaffirmed their commitment to strengthen cooperation and to work closer to promote China-ASEAN Free Trade Area within the framework of the China-ASEAN strategic partnership.

The Chinese side also reiterated its view that ASEAN should continue to play the primary role in conducting East Asian cooperation.

The Brunei side welcomed this view and expressed appreciation for China's continued support in the development of the Brunei-Indonesia-Malaysia-Philippines-East ASEAN Growth Area.

Both sides reaffirmed their commitment to maintain peace and stability in the South China Sea and actively explore ways of cooperation in this region.

They agreed to carry out the follow-up activities of the Declaration on the Conduct of Parties in the South China Sea together with other ASEAN countries and expressed willingness to participate in confidence-building measures in the region.

Both sides recognized the importance of maintaining peace and stability in the Asia-Pacific to prosperity and development of theregion.

The Brunei side expressed its appreciation of the constructive role that China is playing in maintaining peace and stability in the Korean Peninsula.

Both sides agreed to further enhance their coordination and cooperation at regional and international organizations. Enditem

Hu calls for common development in Jakarta

Hu calls for common development in Jakarta


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Hu calls for common development in Jakarta
By Qin Jize (China Daily)
Updated: 2005-04-21 23:53

JAKARTA: Visiting President Hu Jintao yesterday called on the Asian-African countries to seize opportunities and strengthen co-operation to cope with challenges and seek common development.


President Hu Jintao waves during his arrival at Halim airport in Jakarta April 21, 2005. [Reuters]

Hu made the remark yesterday evening at the official dinner reception of this year's Asian-African Business Summit shortly after his arrival in Indonesia.Hu is visiting the Southeast Asian country to attend the Asia-Africa Summit, which starts today.

At a time when Asian and African countries are discussing the establishment of a new-type of strategic partnership, Hu said: "More dialogue and exchanges among their businesses communities will definitely add new life to closer Asian-African co-operation."

He suggested that the aims of the summit could be achieved by focusing on three aspects: proceeding from the respective national conditions while mapping out plans for development, carrying out mutually beneficial co-operation in all fields on an equal footing and working together to create an environment favourable to international development with win-win co-operation.

Hu said that for a long time, China's development has benefited from the support of developing countries and China takes the strengthening of its friendship and co-operation with developing countries as the cornerstone of its foreign policy.

In 2004, trade between China and Asian and African countries reached US$463 billion, up 35.5 per cent year on year.

The president said that China has provided preferential tariff treatment to a number of less developed countries and relieved or exempted 172 items of debt from 38 countries with a total value of 13.78 billion yuan (US$1.7 billion).

Hu said that along with its development, China will expand and deepen its mutually beneficial co-operation with Asian and African countries and increase its assistance to the underdeveloped countries in Asia and Africa.

" China cannot develop in isolation and the world needs China to achieve global prosperity," Hu said.

Prior to flying to Jakarta, the Chinese president visited in Brunei, an oil-rich Islamic sultanate, for a 25-hour tour.

At the luncheon held by the Bruneian business community yesterday, Hu said China would continue to encourage competitive Chinese enterprises to participate in Brunei's infrastructure development including the petrochemical industry, port facilities and telecommunications.

He said China enjoys advantages in human resources, market and technology, while Brunei boasts abundant capital and rich resources of oil and gas. "Such mutually supportive economic factors offer great prospects for bilateral co-operation and trade," Hu said.

He said sustained economic and social development in China had presented enormous business opportunities to the Association of Southeast Asian Nations(ASEAN), including Brunei.

China-ASEAN trade topped US$100 billion last year after years of rapid growth.


(China Daily 04/22/2005 page3)





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星期四, 四月 21, 2005

People's Daily Online -- China trains professionals to boost Sino-ASEAN cooperation

Home >> China
UPDATED: 22:29, May 08, 2004
China trains professionals to boost Sino-ASEAN cooperation



While many Chinese travel half a world to study languages, science and technologies in Western countries, some others have found a place to learn the essence of exotic Asian cultures without leaving their home country.

Nearly 500 students are learning southeast Asian languages and cultures at the foreign languages department of Guangxi Institute for Nationalities based in Nanning, capital of the southern Guangxi Zhuang Autonomous Region.

Students here have easy access to live radio broadcasts, newspapers and magazines of southeast Asian countries and hold discussions with their teachers, some of whom native speakers.

"I'm here to study Lao. It's not a very popular language but sure has great potentials," said Liu Yue, an undergraduate studentwith the institute. "In fact, Lao speakers enjoy many job opportunities these days."

Instead of feeling inferior to learners of more widely spoken foreign languages such as English and French, Liu said she felt rather "proud and advantageous".

"Some of our teachers were bigname statesmen in these countriesand they have helped us gain more insight into their culture and history," she said.

Besides Lao, the institute also teaches Vietnamese, Thai and Cambodian. Its foreign languages department was inaugurated by theMinistry of Education in 2001 as a base for southeast Asian language studies. Many of its graduates are playing a leading rolein foreign affairs, news communications, international trade, tourism, customs and public security.

Wei Huimin, a tour guide with a travel service based in Nanning,said she had benefited greatly from her major.

The Vietnamese major has been a tour guide since she graduated from the institute in 2001. "All the Vietnamese-speaking guides inChina have a tight schedule because so many Vietnamese are coming to China nowadays," she said.

Meanwhile, Vietnam is also in need of Chinese-speaking guides, said Wei, who worked as a part-time guide when she studied at a Vietnamese university as a junior student.

According to Ye Zongbo, an official with the school board, mostforeign language learners at the institute are sent abroad in their third year to acquire more first-hand knowledge about the language and culture they learn.

"We plan to include Indonesian, Malay and Myanmese into our curricula and set up branches in some southeast Asian countries tohelp locals learn Chinese," said Ye.

In an effort to boost its overall cooperation with countries ofthe Association of South-east Asian Nations (ASEAN), China has stepped up the training of professionals who are expected to speaktheir languages and bridge the gap in bilateral and multi-lateral trade, economic and cultural exchanges with these countries.

Another base for southeast Asian language studies has been launched in Yunnan University for Nationalities in the southwestern Yunnan Province, which presently teaches Thai, Vietnamese, Myanmese and Lao.

"Such training will provide high-caliber human resources to bolster trade, economic and cultural ties between China and the ASEAN countries now and in the future," said Peng Hui, professor of Cambodian with Beijing Foreign Studies University.


People's Daily Online -- China trains professionals to boost Sino-ASEAN cooperation

People's Daily Online -- Chinese vice premier: trade fair bridges Sino-ASEAN economic cooperation

Chinese vice premier: trade fair bridges Sino-ASEAN economic cooperation



Chinese Vice Premier Wu Yi said Tuesday in Nanning that the first-ever China-ASEAN Expo., beginning Wednesday, will boost trade, investment, economic and technology cooperation between China and ASEAN countries.

Wu made the remarks during separate meetings with Cambodian Prime Minister Hun Sen, Laotian Prime Minister Boungnang Vorachit and Myanmar Prime Minister Soe Win, who were here to attend the Expo.

"The Expo, initiated by Chinese Premier Wen Jiabao, will offer a new platform for further developing cooperation between China and ASEAN countries in trade, investment, economy and technology, as well as projects and labor sources," Wu said.

The 10-member Association of Southeast Asian Nations (ASEAN) is planning to establish free trade area with China by 2010, which will forge the third largest FTA worldwild, with a population of more than 1.7 billion.

The regional organization includes Indonesia, Malaysia, the Philippines, Singapore, Thailand, Brunei, Vietnam, Laos, Myanmar and Cambodia.

"China and Cambodia have traditional friendship and witnessed great growth in economic and trade cooperation," Wu said.

She said that the Chinese government avalues China-Cambodia ties and will support Cambodian government's efforts in maintaining national security, ethnic solidarity and booming economy.

Cambodia attaches importance on its relations with China and will stick to the "one-China" policy, said Hun Sen. He also said that he hopes the Expo will promote trade between the two countries.

During her meeting with Boungnang Vorachit, Wu said that the two countries enjoy good cooperation and support each other in regional and international affairs. She said China expects the Laos, as rotating chairman of ASEAN, will play a more important role in promoting China-ASEAN ties.

Boungnang Vorachit said that his country will adhere to the "one-China" policy and contribute more to the development of bilateral trade and economic ties.

While meeting with Soe Win, Wu congratulated his appointment as prime minister, speaking highly of China-Myanmar ties. China has a constant policy on Myanmar and hopes to witness the continuous peace and stability in Myanmar while improving the people's life, she said.

Soe Win said Myanmar will stick to the "one-China" policy, expecting to enhance cooperation with China on border trade, investment, natural source exploration and human source development. Myanmar-China trade was expected to hit 1.5 billion US dollars in the coming years, he said.

Wu also met with other ASEAN senior officials Tuesday afternoon.


People's Daily Online -- Chinese vice premier: trade fair bridges Sino-ASEAN economic cooperation

People's Daily Online -- Guangxi to build a Sino-ASEAN international channel

People's Daily Online -- Guangxi to build a Sino-ASEAN international channel: "Guangxi to build a Sino-ASEAN international channel



Seizing the opportunity of Sino-ASEAN Expo, Guangxi Zhuang Autonomous Region is vigorously putting up a river, ocean, land and air channel. Currently, a comprehensive transportation network stretching from inland central cities to coastal, border and even ASEAN countries, and linking up all cities, counties as well as ports has initially come into being. With Nanning, capital of Guangxi Zhuang Autonomous Region as its core, it will provide Guangxi's economy with a solid basis to join the Sino-ASEAN Free Trade Zone and Pan-Pearl River Delta (Pan PRD) economic zone.
Two years after the official operation of Sino-ASEAN Free Trade Zone, Guangxi has invested a total of 15 billion Yuan in road construction with the newly built road reaching more than 5,000 kilometers. Apart from that, the construction of other main road projects has also been put underway, including the road from Huangsha River to Quanzhou, from Baise to Luocunkou and from Nanning to Youyiguan. As for the ports in this region, we saw the handling capacity of Guigang Port to exceed 10 million tons in 2003, making it the biggest port in China's western inland waters areas.
Currently, Guangxi has five civil airports and 100-odd domestic and international air-routes. There are direct air-routes to Hong Kong, Macao, Hanoi and Bangkok. Recently, the direct charter flights to nine capitals of ASEAN countries have also been opened to traffic. In regard of the railway construction, the relevant department in Guangxi will invest RMB 40 billion yuan, realizing the 'package programme' of Guangxi's railway construction.
By People's Daily Online "

People's Daily Online -- Foreign trade robust between ASEAN, south China region

Foreign trade robust between ASEAN, south China region



Foreign trade topped 1 billion US dollars between south China's Guangxi Zhuang Autonomous Region and the 10-member Association of Southeast Asian Nations (ASEAN) in 2004, local customs statistics show.

The figure is 21 percent up from the previous year, including 640 million US dollars of exports, up 15.1 percent from the previous year, and 360 million US dollars of imports, up 32.8 percent from the previous year.

Guangxi registered 4 billion US dollars of foreign trade in 2004, up 34.3 percent from the previous year.

ASEAN has been Guangxi's largest trade partner for six years running. The region has maintained stable economic partnership with Japan and other traditional markets in 2004, while exploring new markets in Africa and Latin America.

Exports from Guangxi mainly are non-ferrous metal, textiles, fruits and vegetables.


People's Daily Online -- Foreign trade robust between ASEAN, south China region

People's Daily Online -- Sino-ASEAN trade volume tops US$100 billion

Sino-ASEAN trade volume tops US$100 billion



According to statistics from Customs, the trade volume between China and the Association of South-East Asian Nations (ASEAN) in 2004 exceeded US$100 billion, making ASEAN China's fifth largest trade partner.

The amount realized through south China's Guangdong Province was 30 percent, the biggest part of the total.

The trading between Guangdong Province and ASEAN kept a good momentum with a total volume of US$32.29 billion, up 21.9 percent on a year-on-year basis.

By People's Daily Online


People's Daily Online -- Sino-ASEAN trade volume tops US$100 billion

People's Daily Online -- ASEAN becomes China's 4th largest trade partner

ASEAN becomes China's 4th largest trade partner



The latest data from the customs shows that for the first time ASEAN has become China's 4th trade partner. For the first two months of 2005, trade volume between the two sides posted 16.63 billion USD, a year-on-year rise of 23.6 percent.

China-ASEAN free trade zone is the first of its kind which has been initiated by China for its launch and negotiation for the first time. According to the agreement signed by the two sides, China and ASEAN will launch tariff cuts process as of July 1 this year. A zero tariff will be offered for the bilateral trade by 2010.

China-ASEAN trade made a historic record by topping 100 billion yuan.

By People's Daily Online


People's Daily Online -- ASEAN becomes China's 4th largest trade partner

People's Daily Online -- China-ASEAN cooperation to advance to a higher level

China-ASEAN cooperation to advance to a higher level



President Hu Jintao will visit three ASEAN (Association of Southeast Asian Nations) nations--Brunei, Indonesia and the Philippines from April 20 to 28. During the period, the president will participate in the activities marking the 50th anniversary of the Asian-African Bandung Conference and attend the Asian-African Summit Meeting. This attractive neighboring diplomatic activity will further advance the sound development of the China-ASEAN relations in the new historical period.

Both sides felt the inspiring situation emerged in the China-ASEAN ties after the conclusion of the Cold War-Along with China's peaceful development, the relationship between China and Southeast Asian countries also witnessed a leapfrog development trend. During the 10-odd years, China resumed diplomatic ties with Indonesia in 1990, established diplomatic ties with Singapore in 1991 and improved relations with Vietnam. By the end of last century, China and ASEAN nations reached a consensus on devoting efforts to establishing a neighborly, mutual-trust partnership geared to the 21st century. Alongside the improvement and advancement of bilateral relations, the overall China-ASEAN relationship had also advanced to a new stage year after year. By the end of 2003, China had basically built up a framework of cooperation with ASEAN. Politically, China and ASEAN were devoted to establishing a strategic partnership; in security, China acceded to the "Amiable Cooperative Treaty of Southeast Asia", both sides jointly observed the "Declaration on the Conducts of Various Parties on the South China Sea" and strengthened cooperation in the field of non-traditional security; economically, both sides decided to set up a China-ASEAN free trade area comprising a population of 1.8 billion before 2010. The "Barter Trade Agreement" signed by both sides at the end of 2004 marked a breakthrough progress achieved in negotiation on the free trade area. In addition, China has since 1997 actively supported ASEAN-led regional cooperation of East Asia, making China the strongest promoter of 10+3 cooperation, that is, cooperation between the 10 ASEAN member states plus China, Japan and the Republic of Korea.

At present, the relationship between China and ASEAN is in the best period. It tells the world's people with the reality of the actual international relations: China's peaceful development is not a threat, but is an opportunity for the small and medium-sized Southeast Asian countries. This historical progress comes from China's neighboring strategy known as "coexisting with neighbors as partners, and treating neighbors with goodwill" and represents a concrete fruit of the Chinese policy of "bringing harmony, security and prosperity to neighbors". In response, ASEAN nations also face China's rapid development with an active attitude and dance with China in a psyche of adaptability, adjustment and cooperation. At the moment, the common task facing China and ASEAN is how to promote mutual relationship to develop in depth. In other words, on a new historical platform both sides need to sketch a blueprint for future cooperation in the next five to 10 years.

President Hu's current visit is a strategic task aimed at China-ASEAN future relationship of mutual benefit and win-win result, which is an expression of the further implementation of the policy of building amiable, tranquil and prosperous neighbors. For instance, Brunei, the smallest Southeast Asian country, will approach the subject of energy cooperation with China, which will benefit both sides. Indonesia is the largest and most populous country in Southeast Asia, as well as the biggest Muslim country in the world. Indonesian President Susilo Bambang will sign with President Hu in Jakarta a declaration on building a bilateral strategic partnership. The Philippines is the only country composed mainly of Catholics in the Southeast Asian region, President Gloria Macapagal Arroyo designated June 9, the day of the establishment of diplomatic relations between China and the Philippines as the "Day of Sino-Philippines Friendship" during her first tenure of office. In March this year, China, the Philippines and Vietnam jointly signed an agreement on conducting seismic survey in the South China Sea region, which marks the first step taken for common development on the South China Sea. It is believed that leaders of China and the Philippines will further push forward bilateral friendly relations.

President Hu's trips to three Southeast Asian countries will open a new chapter on China-ASEAN relationship.

This is an article carried on the first page of People's Daily Overseas Edition on April 20 and translated by People's Daily Online


People's Daily Online -- China-ASEAN cooperation to advance to a higher level

星期三, 四月 20, 2005

asian monetary cooperation

China Internet Information Center
Experts: Enhance Regional Money Cooperation

Dozens of experts from China, Japan, South Korea and the Association of Southeast Asian Nations (ASEAN) said at a conference in Shanghai that Asian countries should enhance currency cooperation, setting up an Asian Monetary Fund (AMF), bond guarantee and rating institutions and a research academy.

They noted that the Chiangmai Initiatives, which enabled currency swaps to deal with the Asian financial crisis, will be amended.

The conference was a prelude to the First East Asian Summit, which is scheduled to open in Kuala Lumpur at the end of 2005.

The summit's predecessor is the meeting of ASEAN plus China, Japan and South Korea. Australia and New Zealand will also attend the meeting for the first time this year.

Representatives from all sides agreed that they should boost exchange rate cooperation, enhance coordination and jointly deal with US dollar depreciation and soaring oil prices.

Japanese representatives reaffirmed the importance of setting up an AMF to suppress short-term speculation. Such an institution is also expected to monitor the regional financial situation, boost reform of monetary systems and keep the flow of Asian currencies stable and orderly.

Asian countries could appropriate funds from their foreign exchange reserves to form the AMF, the representatives stated.

"Hot money exists in many Asian countries. The short-term net capital inflow in South Korea last year was equal to its forex reserve increase, and such capital flows are also severe in China and other countries," one participant warned.

The Japanese representatives suggested that currencies in Asia should be pegged to a basket of currencies, including the yen and the euro.

If an Asian monetary zone cannot be established in the near term, the scheme of setting up several monetary subzones should be considered, they suggested. Such zones are an important step in stabilizing regional exchange rates.

Representative Wu Jianming, president of the China Foreign Affairs University, pointed out that the lack of coordination in the forex system puts Asian central banks in a quandary, and that efforts should be made to keep regional exchange rates stable.

Chinese representatives also suggested building an Asian bond market, saying that large companies should be encouraged to issue bonds, including transnational infrastructure construction bonds.

They pointed out that guarantee and rating institutions should be established to underwrite these bonds and to attract European and US investors.

"Currently, the international rating of Asian bonds is not high, so we should have our own rating institutions," China Business News quoted one of Chinese representatives as saying.

Analysts noted that the East Asian bond market grew robustly last year, a trend they hope will continue. They said that the huge amount of foreign exchange reserves should play a more important role in Asian bond market.

Professor Ou Minggang of China Foreign Affairs University said that a relevant study report would be submitted at the East Asian Summit. "Unilateral or bilateral action cannot fundamentally solve the problems," he pointed out. "Across-the-board coordination is needed."

(China.org.cn by Tang Fuchun April 10, 2005)