Research Update
19
NovLord Richard Balfe,
Mr. Ibrahim Eren, Director General and Chairman, TRT,
Ladies and Gentlemen,
Distinguished Friends,
It is my great pleasure and honor to attend this most respected World Forum conference “Globalization in Retreat: Risks and Opportunities”, and speak about “The Future of the Global Liberal Order, Challenges and Prospects”. I am very happy to have this opportunity to share my views about the global situation and China Stories in her opening-up and reform with you all, distinguished leaders from all realms of thinking and actions, respected scholars and many other friends from around the world.
Here is one latest China story. As you know, October 1st of 2019 is the date of the 70th anniversary of the founding of the People's Republic of China. We have just held a grand celebration in Beijing as well as events all over China. The Chinese people are really in great joy and jubilance for so many and so great achievements made in those years. And we know all those achievements would not have been possible without the help, support and cooperation from all of you friends and partners the world over, developing and developed countries alike. We would sincerely thank you all for that. Looking into the future, I can see that my people have even greater confidence as our President Xi Jinping in his speech at the celebration has emphasized that the Chinese leadership is determined to continue marching along the path of peaceful development, to carry on opening-up policy with mutual benefit and win-win approach, and to join hands with peoples around the world to build up a shared future for all mankind.
Over the past 70 years, the Chinese people under the leadership of the Chinese Communist Party have insisted on the development path based on the real situation in China with the Opening-up and Reform Policy, always putting the people first. In all those years we have kept on facilitating friendly relationship and cooperation with nations all over the world based on the five principles of peaceful coexistence. We are proud to say that China through all its hardships and hard endeavors has turned from a very poor and weak country into the second biggest economy, the biggest industrial power and biggest nation of the commodity trade in the world. Our people have started to see the bright light upon the horizon for the great Chinese national rejuvenation.
Standing at that new historical starting point, if you ask the Chinese people how they would feel, you would be told that they are joyful and confident but also modest and calm. They know that opportunities are bumper there, but not without risks and challenges. Lots of hard work is called for.
What is then a global situation facing us now in the years as far as we can see? In my view, peace, development and cooperation is still in the main. On the whole the mankind is yet faced with urgent and dominant major crisis for a comprehensive global war. The will and strength of peoples of the world for peace and development are prevailing. It is possible for the nations of the world to take advantages of that peaceful situation to wipe out obstacles, enhance cooperation and bring into being greater prosperity. However, looking closer to the world we all dwell, it is not secure and tranquil at all. Insecurity, instability and uncertainty are not far to find. In fact, in some regions and countries, they are dramatically growing. Some countries or some leading power is resorting more and greater to unilateralism and protectionism, shaking the already unstable, shaky world economy and international order, seriously harming the trend of peaceful development and cooperation. Such a situation has become an outstanding threat to the international society. At this moment, the opinion leaders in Turkey very timely hold this conference in Istanbul calling all of us to come to discuss, debate, and try to find better ideas and solutions. The conference puts focus on where the globalization may go, which has been presented to us indeed a most pressing and significant issue in our time.
The world as we see it is at crossroad. Two choices are laid here, unilateralism or multilateralism, confrontation and repression or dialogue and consultation, equality or jungle law, closing the door or open the door, exclusiveness or inclusiveness. The policies and practice of the Chinese government are very clear: multilateralism is the only path for maintaining world peace and promoting common development. The International system based on rules with the United Nation at its core serves as the cornerstone for world peace, security and stability. Maintaining the core position of the United Nations in international affairs and the rules-based multilateral trading system with the WTO at its core is the only way to meet the global challenges. Along with those cores, we also need to make better use of organizations such as the International Monetary Fund(IMF), the World Bank, the Group Twenty(G20), the European Union(EU), the Association of Southeast Asian Nations (ASEAN), the League of Arab States and the Gulf Cooperation Council(GCC). By mobilizing just, rational and positive factors in the world, let all countries, big or small, strong or weak, rich or poor, join hands on an equal footing to tackle problems all together. China has always supported multilateralism and held high the banner of peace, development, cooperation and mutual benefit. China is a builder, contributor and defender for world peace, security, stability and development.
Ladies and Gentlemen,
In discussing the risks and opportunities of globalization today, we need to take a look at the impact of globalization in a more specific manner. Globalization is in many ways both an achievement and a natural result owing to long historical efforts in the development of economic production by human beings, including constant strengthening of communications, cooperation, scientific and technological innovations and industrial revolution. Globalization has made the world market bigger, more open and nations connecting closer, people’s exchanges and mutual learning easier and faster. In short, great potential for wealth are tapped and unleashed. Meanwhile, globalization has also happened in and with real international conditions with “creative disruption” and existence of greediness and desires, which, if unchecked with rationality, just and fair governess, would also do huge harm for the global village. As we have seen all these years in the world the greater imbalance of economic development, the sharper contradiction between wealth creation and distribution, the weakness of global governance and the unfair or unjust points in international economic order. Many countries are affected with developing countries hit hardest. We should pay more attention to those risks and problems now in particular when the driving power for the global economy recovery has not been strong for quite some years already. The world growth and distribution gap in some areas are even getting worse.
However, the real risk is how we approach and respond to those challenges. Should we advance win-win cooperation and global governance on the basis of multilateralism and equal participation, or engage in unilateralism, hide in protectionism, escape in small cliques, and simply build walls? Should we ignore or even abandon the universally recognized international order and rules based on the long-hard-learned wisdom, practice and consensus of mankind, or follow that consensus and jointly continue to build up our global village? Those questions must be answered in conformity with the common interests and shared future of mankind.
The approach of the Chinese government is obvious. We believe that to tide over those challenges, we must work together with all nations by continuing to promote equal-footed dialogue, to consult, build together with shared benefits so as to guide the globalization onto a path to build up a more inclusive, fair, beneficial, balanced and stable world economy, and shape international relations into a new mode, a more mutual-beneficial, cooperative and win-win one and build a community of shared future for mankind.
In this regard, the international community should bear in mind the lessons of history and resolutely oppose itself to and prevent the adverse flow of protectionism. Economic and trade frictions and differences should be resolved through dialogue and consultation in a win-win and cooperative manner. Any dishonesty, self-promotion onto a cut above others or attempt to cast away rules will in the end be rejected by all. China welcomes dialogue and will double its efforts for achieving mutual beneficial results. China does not engage itself in threats or pressure, nor is it afraid of any.
What is more, the growth of productivity and opportunities brought about by globalization as well as scientific and technological innovation and industrial innovation shall belong to the whole of mankind. They should not be monopolized by a few, still less should they be governed by any domestic laws and trade bullying. The World Trade Organization (WTO) and a series of international trade and investment rules are the shared achievements of human civilization and should not be undermined by unilateral destructions of some single countries.
Under the current circumstances, it is crucial for major powers to be engaged in dialogue, pool together their wisdom and strength to maintain global peace and development. The permanent members of the Security Council in the UN in particular should set examples in assuming special responsibility. The INF treaty for instance plays an important role in maintaining global strategic balance and stability. China is opposed to the deployment of mid-range missiles in the Asia-Pacific and has urged countries with the largest nuclear arsenals to earnestly fulfill their special and prior responsibilities for new disarmament. China will continue to take an active part in the international arms control process and has initiated domestic legal procedures for acceding to the arms trade treaty. We will stick to our consistent position and actively support UN reform. China has set up a peacekeeping standing-by force of 8,000 troops and a standing police force.
Ladies and Gentlemen,
China's foreign policy will keep in mind how we started in the very beginning and keep a firm course. We will continue to treat peoples and countries equally around the world with sincerity and care, and advocating mutual help as always in national development with shared goals. In planning its future development, China will continue to follow the path of socialism with Chinese characteristics under the leadership of the communist party of China, advance reform and opening up, maintain stability and continuity by firmly maintaining world peace and promote common prosperity.
---- China will stick to the path of peaceful development. We will resolutely pursue an independent foreign policy of peace, safeguard the interests of our countries and peoples, and promote friendly exchanges and cooperation with people of other countries. We will continue to oppose ourselves to any power politics and will refrain from interfering into others' internal affairs. We will never seek hegemony or expansion.
---- China will uphold principles of equality and mutual benefit. In its practice of international exchanges, China would respect the social system and development path independently chosen by the people of all countries themselves. The Chinese people are ready to share development experience with friends and partners and promote mutual learning and assistance. China has not attached and will never do in future any political conditions to its foreign aid.
---- China will continue to maintain international fairness and justice. China will continue to stand up and speak out in the international community, handle issues on their own merits, stand firmly with developing countries, safeguard their common interests and legitimate rights, expand their representation and voice in international affairs, and promote democratization in international relations.
---- China is committed to building an open world economy and promoting globalization to be more conducive to world peace and common development. China will always pursue its own development through listening, consulting and caring in order to foster a more open, inclusive and cooperative global development environment.
Ladies and gentlemen,
In the face of the world economic situation after the international financial crisis, the international community has taken effective measures. In order to enhance those measures, to set the right course and bring more confidence, the Chinese government has called for further actions in the following four aspects:
Firstly, stick to reform and innovation and explore driving force for growth. We need to forcefully advance structural reform and strive to achieve high-quality growth through the development of digital economy, promoting connectivity, improving social security and other measures. Meanwhile, the group members need to create a favorable market environment, respect, protect and encourage innovation, and advocate international cooperation in innovation.
Secondly, more joined efforts of actions in improving global governance. We should strengthen the multilateral trade system and conduct reforms of the World Trade Organization (WTO) to make it more effective. We should stress the need to ensure that the financial safety net has enough resources, and that the global financial architecture has fairer representation. The Paris Agreement on climate change should be implemented and energy, environmental and digital governance be all improved.
Thirdly, take more initiative for cracking development bottlenecks. China's proposal for jointly building the Belt and Road aims to mobilize more resources, strengthen connectivity, unleash driving force for growth, realize market alignment and incorporate more countries and regions into economic globalization. Major economies should continue to prioritize development in macroeconomic policy coordination and increase development input.
Fourthly, uphold the spirit of partnership and properly address differences. Countries are at different stages of development, it is only normal for them to have different interests and needs. The key is consultation on the basis of equality, seeking common ground while handing differences respectfully, managing divergences and build up consensus together.
Although China also faces many difficulties, we have full confidence to strengthen cooperation with other countries to create a better tomorrow. At present, the Chinese economy is in a stable and positive direction, transforming itself from high-speed growth to high-quality one.
The Chinese economy has contributed nearly 30 percent to world growth for many years in a row, in fact the largest contributor to world economic expansion. China's GDP grew by 6.6 percent year-on-year in 2018, exceeding 90 trillion RMB yuan, or about $13.6 trillion, for the first time. China's new GDP growth in 2018 has exceeded the average annual growth of more than 10 years ago when the Chinese economy was growing at double-digit rates. The resilient Chinese economy has great potential still and its growing affluence of nearly 1.4 billion people will continue to unleash enormous effective demand. In the next 15 years, China's imports of goods and services are expected to exceed $30 trillion US dollars and $10 trillion US dollars respectively.
China's digital economy and other emerging industries sectors are also booming. Innovation is the hallmark. Besides, decisive achievement has been made in the fight against poverty. Since 2013, over 80 million rural residents have been lifted out of poverty. Ecological and environmental governance has been notably strengthened and environmental conditions improved. Comprehensively governing the party with strict discipline has made the ruling CPC stronger and won an overwhelming victory in the fight against corruption.
In the next stage, China will have even more wonderful stories in her development. We will take new measures to further deepen reform, open wider to the outside world and promote bigger cooperation:
Firstly, we are to expand access to investment markets. We will soon release the 2019 edition of the negative list on foreign investment, with the focus on greater openness in agriculture, mining, manufacturing and services. We will set up six new pilot free trade zones, open a new section of the Shanghai Pilot Free Trade Zone, and speed up exploration of building a free trade port in southern Hainan Province.
Secondly, greater initiative will be demonstrated in expanding imports. Our overall tariff level is being further brought down with efforts being made in removing non-tariff trade barriers. We will also slash institutional costs in imports. By holding the second China International Import Expo, we will import more high-quality agricultural products, manufactured goods and services that are competitive overseas.
Thirdly, further efforts will be made to strengthen IPR (intellectual property rights protection). Fresh steps are being taken to improve the business environment. In the new legal framework for foreign investment that is to take effect on Jan. 1 of 2020, China will introduce a punitive compensation mechanism for intellectual property infringement cases and make the relevant civil and criminal laws more stringent to deliver better IP protection.
Fourthly, equal treatment will be extended to all foreign investment. China will lift all foreign investment restrictions beyond the negative list, and provide equal treatment for all types of businesses registered in China in the post-establishment phase. A complaint mechanism will be set up for foreign companies to air their grievances.
Fifthly, greater drives are being made to advance trade talks. China is pushing for an early conclusion of the Regional Comprehensive Economic Partnership (RCEP) and accelerate the negotiations on a China-European Union investment agreement and the China-Japan-South Korea Free Trade Agreement. At present, China will pay more attention to the implementation of the policy of opening to the outside world.
Ladies and gentlemen,
As our President Xi Jinping put it, “While we live in a world full of hope and challenges, we should not give up our dreams for the reality being too complicated, nor should we give up our pursuit simply for the ideal lying too far away.” Let us join hands, strengthen confidence and cooperation, seize the opportunities brought by globalization, overcome challenges, and make unremitting efforts to realize lasting peace and common development of the world, achieve sustainable growth and prosperity, and build a community with a shared future for all.
Thank you.