The three-day Asia-Europe High-Level Economic Forum opened Tuesday morning in the northeast China's port city of Dalian. Dalian Mayor Xia Deren delivered a speech entitled "Going with the Trend of Economic Globalization and Enhancing Asia-Europe Economic and Trade Cooperation" at the opening of the forum. The full text of his speech follows:
Chairman, Ministers, Representatives from Business Community, Ladies and Gentlemen:
I feel privileged to be the first speaker at today's forum. The city of Dalian is now brimmed over with an atmosphere of friendliness and happiness. The presence of the ministers and representatives from the business community in Dalian to attend the Fifth ASEM Economic Ministers Meeting and the Asia-Europe High Level Economic Forum adds great color to this beautiful seaside city.
As the mayor, I take great pride in the fact that Dalian has attracted so many distinguished guests. Please allow me, on behalf of the 50.9 million people of Dalian, to extend a warm welcome to all the deputies, and express heartfelt congratulations on the convening of this meeting. I would also like to express my sincere appreciation to the Ministry of Commerce of the People's Republic of China for the trust and support it gives to Dalian.
Asia and Europe are two important and influential continents in the world, and economic and trade cooperation among countries on the continents will strongly push forward the global economic growth. The importance of strengthening mutual understanding, enhancing friendly cooperation, further facilitating trade and investment among Asian and European nations, then achieving rapid economic growth for each individual country has been widely acknowledged by various governments and business communities.
Upon the arrival at the forum, my recognition of a quite number of faces reminds me of the friendship we have established for promoting our trade and economic cooperation. Most of the countries here you come from are Dalian's business partners.
In year 2002 alone, 71.4 percent of Dalian's total import and export volume was conducted with the ASEM member nations. By the end of 2002, Dalian has attracted US$15 billion of foreign direct investment, among which US$8.9 billion were from ASEM member nations, accounting for 60 percent of the total FDI in Dalian.
Companies from ASEM member nation invested half of Top 100 Foreign-Funded Enterprises in Dalian. Benefiting from the trade and economic collaboration between Dalian and the ASEM member nations, Dalian's GDP in 2002 recorded a rise of 14.1 percent over the previous year. In spite of the effect of the SARS epidemic, Dalian's GDP in the first half of this year increased by 14.2 percent over the same period last year.
All these suggest that the strengthening of economic cooperation and the promotion of trade and investment are not only the objective requirements of economic globalization, but also an inevitable choice if this region wants to develop its economy.
A closer trade and economic relationship among ASEM member nations is highly dependant upon the joint efforts made by all ASEM member nations and the active involvement of different cities. Dalian, the city in front of us today, is a young and dynamic city with fast growth. Although Dalian is quite insignificant in comparison with those international metropolises, yet we can find a suitable position for the city in the Asia-Europe economic system. We are also convinced that some advantages Dalian has will surely become positive contributions to the economic cooperation among Asian and European nations:
1. Dalian is an important port leading to the world. Dalian is located at the southern tip of the Liaodong Peninsular, where the economic circles of the Yellow Sea and the Bohai See converge. Separating from Japan and South Korea by the sea, Dalian is strongly backed up by northeast China as its vast hinterland and has formed a rapidly growing group of cities together with its counterparts along the coast of Bohai Sea.
Well known for its fine natural conditions, the Port of Dalian has an annual handling capacity of more than 110 million DWTs. Highlighted by its regular container services of Europe, Japan and South Korea, the Port of Dalian has established shipping relationships with over 300 ports from 160 countries and regions all over the world.
As the largest air transport base in northeast China for both passengers and cargo, Dalian International Airport has more than 80 international flights each week. The construction of the international logistic in Dagushan Peninsular will enable Dalian to develop itself into a regional international shipping and logistics center in the next ten years.
2. Dalian is a manufacturing and processing base with large potential. As an important industrial base in China, industrial sectors such as petrochemical and oil refinery, shipbuilding, locomotives, machine tools, large machinery, and refrigeration equipment rank number one in China.
In recent years, high-tech industries including electronic, IT and computer software programming have developed rapidly and become a new flagship in Dalian's industrial structure.
The strategic decision on revitalizing the old industrial base of northeast China made by the central government lately has made it possible for Dalian to gain more supportive policies and development opportunities. By making full use of its strong capability in manufacturing and processing, high quality labor force and competitive labor cost, Dalian will be able to contribute in the industrial transfer of industrial nations, and develop itself into an international processing and manufacturing base.
3. Attractive environment for international capital is available in Dalian. As one of the earliest coastal open cities in China, economic areas in Dalian, such as economic and technological development zone, the free trade zone, the export processing zone and high-tech industrial park have management system compatible with international standards, well-established service system and policy incentives to attract foreign investment.
Up to now, Dalian is home to more than 8,600 foreign-funded enterprises with actually utilized foreign investment of US$15.8 billion. Sixty multinational listed in Fortune 500 have set up their facilities in Dalian. After China's entry into the WTO, Dalian became one of the first cities authorized to open its financial sector. Currently eight foreign banks and two foreign insurance companies have opened their branches, and fourteen foreign financial institutions have set up their offices in Dalian, which are working together with a number of domestic financial institutions to provide foreign business with financial services reaching international standard.
With 22 universities and more than 100 research institutes, education and technology in Dalian are well developed, which ensures rich supply of talented people and scientific and technological resources in Dalian. By taking advantage of these universities' facilities and human resources, the software industrial belt along the southern highway to Lushun, now under construction, will be in a good position to assist international companies in software programming and R&D. This industrial belt is going to be developed into the largest center for software outsourcing and BPO (Business Process Outsourcing) in China.
Facing the sea and backed by the hills, Dalian, with its scenic surrounding and pleasant climate, is regarded as a very suitable place for living. Over the years, the Dalian Municipal Government has never stopped its effort in improving the city's environment and building Dalian into one of the most beautiful and the cleanest cities in China. Dalian has been conferred the "Habitat Scroll of honor Award" and the "Global 500 Roll of Honor for Environment Achievement" by the United Nations.
Ministers, Ladies and Gentlemen, there is an old saying in China that goes: stones from other hills may serve to polish jade of this one, which offers us an inspiration -- the efficient allocation of economic resources demands the dismantling of national boundaries.
The economic and trade cooperation among Asian and European nations will enable efficient resource allocation among different nations and lead to an international economic pattern in line with the development characteristics of each individual nation. In this process, Dalian is no longer a city of the Dalian people alone; she will integrate herself with the outside world and make herself a part of the international economic system.
After China's accession into the WTO, our market has become an internationalized market open to foreign businesses and our industries an integrated part of the global industrial chain. As a local authority, we must comply with the objective laws governing international capital operation and adopt an open attitude in guiding the flow of capital and technology; by this I mean foreign companies are welcome to make their investments in Dalian when the cost of key production elements in the city is lower, but when our cost is higher than other countries, we would encourage local enterprises to invest abroad.
Going with the trend of economic globalization, strengthening trade and investment cooperation with all ASEM nations and promoting economic growth in the countries of Asia and Europe are all positive wills that we want to convey to all of you present today and they will also be a target for which we are going to work tirelessly to achieve in the years to come.
To conclude, I wish this forum be crowned with every success, and all the ministers, friends from business communities and guests enjoy good health and have a pleasant stay in Dalian. May the City of Dalian leave upon every one of you a fond impression.
Thank you all!
(China.org.cn July 22, 2003)
