Shou Xiaoli:

Thank you, Mr. Wang, for your introduction. The floor is now open for questions. Please identify the news outlet you represent before raising your questions.

ThePaper.cn:

In 2023, China's total foreign trade volume reached 41.76 trillion yuan, showcasing significant resilience. Global institutions generally anticipate increased uncertainties in the world's economic and trade development for 2024. What is your perspective on China's foreign trade situation in 2024? Additionally, could you elaborate on the policies and measures that the MOFCOM plans to implement to stabilize the development momentum of foreign trade? Thank you.

Wang Wentao:

Thank you for your questions. Since last year, under the strong leadership of the CPC Central Committee, we have concentrated on policy, entities, markets and other aspects. We have taken proactive and targeted measures to promote the overall stability of foreign trade operations. The scale of imports and exports reached 41.76 trillion yuan, achieving the goal of ensuring stability and enhancing quality. This accomplishment has been hard-earned and can be evaluated from three dimensions:

Looking from a longitudinal perspective, China's imports and exports achieved a positive growth of 0.2% compared to the high base of 2022, and an increase of over 30% compared to the pre-pandemic year of 2019. Especially, as mentioned earlier, our exports are expected to maintain a stable market share of around 14% in the international market.

Looking horizontally, the United Nations Conference on Trade and Development estimated that global trade in goods likely declined by 7.5% in 2023. In comparison, China's foreign trade performance was better than the global average and that of most major economies.

Upon closer examination, the structure of foreign trade has continuously been optimized, with two notable breakthroughs. First, China's exports of "new three" products — new energy vehicles, photovoltaic products, and lithium-ion batteries — surpassed 1 trillion yuan for the first time, with a growth of nearly 30%. This indicates a continuous improvement in the structure of our export commodities. Second, the number of business entities engaged in real import and export activities topped 600,000 for the first time, reaching 645,000. This demonstrates the continuous growth and optimization of foreign trade entities.

You just asked about the outlook for 2024, which is a question that everyone is concerned about. In general, this year, the development of China's foreign trade will face a more complex and challenging external situation. On the one hand, there is weak demand, and the global economy is still sluggish. The International Monetary Fund predicted that global economic growth will decrease to 2.9%. On the other hand, the environment is unfavorable, with rising trade protectionism and increasing geopolitical conflicts. There is a significant increase in spill-over risks. For example, the recent disruption in the Red Sea shipping channel has disrupted international trade. However, it is important to recognize that China's foreign trade development still has many favorable conditions. For example, the competitiveness of the foreign trade industry continues to improve, new business formats and models are flourishing, and digitalization and green development are accelerating. We have confidence and determination in implementing the arrangements made at the Central Economic Work Conference and consolidating the foundation of foreign trade and foreign investment. Specifically, our work will focus on four aspects:

First, we will promptly introduce new policies. The earlier these policies and measures are implemented, the greater their impact will be. Last April, we formulated policies aimed at stabilizing the scale and optimizing the structure of foreign trade, which have yielded positive results. We will continue to ensure their effective implementation. Additionally, in line with the new situation and tasks for this year, we will conduct policy research and add more tools to our toolbox. We recently conducted a survey to understand the suggestions and demands from localities and enterprises. Currently, we are actively conducting a new round of policy research and evaluations, with the aim of releasing new policies as soon as possible. These policies will be combined with existing ones to form a package so that they will have a synergistic effect to the largest extent.

Second, we will accelerate the cultivation of new growth drivers. Specifically, we will enhance the competitiveness of our industries. Leveraging our advantages, such as our complete industrial foundation and comprehensive manufacturing sector, we will expand trade in raw materials, semi-finished products, components, and other intermediate goods. We will seek vitality through innovation, promoting the development of new business formats and models in areas such as cross-border e-commerce, bonded maintenance, and market procurement. We will draw motivation from reforms, establishing an import and export catalog of green and low-carbon products, accelerating the digitalization of international trade documents, and driving green trade development and full-chain digital transformation.

Third, we will assist in exploring new markets. In the foreign trade industry, there is a saying: "A thousand emails are not as effective as one face-to-face meeting." Therefore, we will continue to organize important expos such as the Canton Fair and the China International Fair for Trade in Services. We will actively support companies in participating in overseas exhibitions and promote cross-border business personnel exchanges. We will create more opportunities for communication and exchanges between enterprises, helping them better connect with markets and customers and strive to secure more orders.

Fourth, we will unleash new potential for imports. We not only aim to expand exports but also to increase imports. The market is the most scarce resource, and China's super-large-scale market advantage provides vast market space and cooperation opportunities for enterprises from various countries. We will expand imports of high-quality consumer goods, advanced technologies, important equipment, and key components. We will also increase imports of energy and resource products as well as domestically scarce agricultural products. We will leverage platforms such as the China International Import Expo to enhance diversified import channels and improve the facilitation of import trade. We will also foster the development of national import trade promotion and innovation demonstration zones. The goal of these efforts is to transform China's super-large-scale market into a shared global market, injecting new momentum into the development of our national economy and the global economic recovery. Thank you.