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nderstanding.     China has long been an ASEM advocator. Chinese premiers have attended all ASEM summits since 1996 and proposed to build up a new-type of Asia-Europe partnership.

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BRUSSELS, Jan. 19 (Xinhua) -- The NATO secretary general on Monday praised the Chinese navy's anti-piracy operations off the coast of Somalia and indicated NATO's willingness to work with China on the issue. "I am applauding what is a rather unique position of the Chinese navy participating in the anti-piracy (campaign)," Secretary General Jaap de Hoop Scheffer told Chinese journalists at a NATO New Year reception.     "I do not exclude, at a certain stage, that when the United Nations would create a sort of roof under which these whole anti-piracy operations take place, NATO and China will meet under that roof," he said. A soldier of Chinese navy special force watches a seabird flying over him on destroyer "Wuhan", flagship of the Chinese naval fleet for an escort mission against piracy off Somali coast, in the Gulf of Aden, on Jan. 18, 2009. The Chinese naval fleet including two destroyers and a supply ship set off on Dec. 26, 2008 for waters off Somalia.    The deployment of two warships in the Gulf of Aden was the Chinese Navy's first expeditionary military mission.     "I welcome the engagement of China... It is a very important contribution to anti-piracy operations," the secretary general said.     NATO deployed four warships off Somalia in October to escort World Food Program food shipments to Somalia and to patrol the seas to deter piracy. Its mission ended in December. But the alliance is considering a long-term strategy on the piracy issue and stands ready to consider further requests for the use of its naval assets in this regard.

WASHINGTON, Nov. 14 (Xinhua) -- Chinese President Hu Jintao arrived in Washington Friday for a summit to discuss issues concerning financial markets and the global economy.     President Hu, and other leaders from the Group of Twenty (G20) members, have been invited by U.S. President George W. Bush to Saturday's meeting, the first in a series of summits to mitigate what economists predict could be a long and deep downturn.     Later in the evening, the Chinese president is expected to attend a dinner hosted by Bush for all the leaders.     "The leaders will review progress being made to address the current financial crisis, advance a common understanding of its causes, and, in order to avoid a repetition, agree on a common set of principles for reform of the regulatory and institutional regimes for the world's financial sectors," said White House spokeswoman Dana Perino last month in making the announcement of the summit.     At a press briefing last week, Chinese Vice Foreign Minister He Yafei said that China expects to build a fair, inclusive and efficient international financial system.     "We hope to consult with other participants to reform the international financial system and finally try to establish a fair, inclusive and efficient system," He said.     He said that China would take an active part in the summit-related activities in a constructive attitude, work together with all the parties for the achievement of pragmatic outcome, and impel the international community to tackle the financial crisis in a timely, comprehensive and effective manner.     The members of the G20 include Argentina, Australia, Brazil, Britain, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Mexico, Russia, Saudi Arabia, South Africa, South Korea, Turkey, the United States, and the European Union.     The managing director of the International Monetary Fund (IMF),the president of the World Bank, the secretary-general of the United Nations and the chairman of the Financial Stability Forum have also been invited to the Washington summit.     Washington is the first leg of President Hu's five-nation trip. He will later pay state visits to Costa Rica, Cuba, Peru and Greece. During his stay in Peru, he will attend the Economic Leaders' Informal Meeting of the Asia-Pacific Economic Cooperation(APEC) forum in Lima.

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BEIJING, Dec. 8 (Xinhua) -- China's annual Central Economic Work Conference opened here Monday to set tone for the economic development next year.     Observers believed the three-day event would give priority to efforts to maintain stable economic growth.     They reckoned in 2009, China would see more risks for worse economic slowdown, more struggling smaller businesses, grim export situation and arduous task of transformation of economic growth pattern.     "It is imperative for China to maintain an economic growth of at least 8 percent," said Zhuang Jian, senior economist with Asian Development Bank's China Resident Mission.     It was hard for China to bear the consequences of a too slow GDP growth, Zhuang added, citing bankruptcy of numerous enterprises, more migrant workers being laid off and difficulties for college graduates to find jobs.     China's macro-economic policies experienced a dramatic adjustment-- from "preventing economic overheating and curbing inflation" at the beginning of this year to "maintaining growth through expanding domestic demand" at present. In the first three quarters, the nation saw its GDP growth slowed to a single-digit rate for the first time over the past five years, thanks partly to macro-economic control efforts and the ongoing financial woes worldwide.     "The Chinese economy has suspended continuous heating and proceeded into a period of slow down," Zhang Liqun, a researcher with the macro economy department under the Development Research Center of the State Council, commented.     "The slowdown was worse than expected," said Ma Jiantang, head of the National Bureau of Statistics.     Data from the bureau showed that the country's GDP growth was 10.6 percent in the first quarter, 10.1 percent in the second, and9 percent in the third.     President Hu Jintao said at the end of November that the Chinese economy was pressurized by global economic downturn, obvious ebbing of demand from abroad and weakening of the country's traditional competitive edge.     "Impact from the international financial tsunami on the Chinese economy has begun to show up, and to deepen into various sectors of the real economy," said Wang Yiming, deputy head of the macro economic research institute of the National Development and Reform Commission.     Since mid October, the Central Government has promulgated a string of policies and measures to prevent the national economy from sliding drastically. They included end of a tight monetary policy and commencement of a moderately easy one, shifting the fiscal policy from "prudent" to "active", starting projects to improve infrastructure and promote people's livelihood, and, expanding domestic demand.     The People's Bank of China announced tax exemptions and downpayment cuts as of Oct. 27 to boost the falling real estate sector. The minimum downpayment for a first-time buyer of a residence smaller than 90 square meters was reduced to 20 percent from 30 percent.     Interest rates on mortgages for first-time buyers were cut 0.27percentage point. The floor for interest rates was lowered to 70 percent of the central bank's benchmark rate.     The central bank cut benchmark interest rates by 0.27 percentage point as of Oct. 30, the third such move in six weeks.     The benchmark one-year deposit rate dropped to 3.60 percent from 3.87 percent, while the benchmark one-year lending rate fell from 6.93 percent to 6.66 percent.     Tax rebates were raised for 3,486 export items as of Nov. 1. The adjustment covered such labor-intensive industries as textiles, toys, garments, and high-tech products, accounting for 25.8 percent of products covered by customs tariffs. Rebate rates run roughly from 9 percent to 14 percent.     On Nov. 9, state councilors announced a four-trillion-yuan (583.9 billion U.S. dollars) economic-stimulus package, which was seen as the most exciting stimuli in 10 years.     To boost consumption, particularly in the rural areas where 900 million people inhabited, was important part of efforts to expand domestic demand, observers believed.     China has launched a scheme to subsidize rural residents for buying home appliances since the end of 2007. It is estimated that in a period of four years, nearly 480 million units of refrigerators, washing machines, color TV sets and cell phones, which were in huge demand among farmers, will be sold in rural areas nationwide. That means 920 billion yuan to be spent by rural consumers.     "There is still a large room for the government to mull more policies to boost consumption, such as raising the threshold for taxable income and increasing income for lower-income earners," said Cai Zhizhou, an economist with the prestigious Peking University.     Export has since long been a major driving force for the Chinese economy. Economists believed the stable development of smaller enterprises, particularly the exporters, which provided jobs for 75 percent of urban employees and rural migrant workers, was related to the stability of the enormous Chinese labor market.     How to prevent export from sliding down too fast is one of the top concerns of the Chinese government.     "It is no doubt that China's export situation will become more grim next year. However, if the country manages to maintain a moderately fast growth in foreign sales of machines and electronics, it will likely achieve a growth of more than 15 percent in export at large," said Mei Xinyu, a trade expert with the Ministry of Commerce.     China has taken a string of measures to boost development of smaller enterprises.     "It is necessary for the government to work out more detailed, effective methods to mitigate tax burdens and enhance credit support for smaller businesses, and to help them with their efforts to promote technical upgrading and explore more markets," said Zhao Yumin, another economist with the Ministry of Commerce.     The service sector, which was able to provide numerous jobs, was yet to be expanded substantially, Zhao added.     Zhang Xiaojing, a senior economist with the Chinese Academy of Social Sciences, said that it was definitely wrong for China to waive long-term goals for short-term interests. He believed that to promote the shift of economic growth pattern and maintain the sustainable economic growth would be one of the important topics for the ongoing Central Economic Work Conference.

LANZHOU, Nov.18 (Xinhua) -- Authorities in northwest China's Gansu Province have put the violent protest under control after a group of petitioners attacked local government buildings on Monday night, said a provincial government official.     The protesters have left the government building and the social order has resumed normal in Longnan City, where the unrest erupted, on Tuesday night.     More than 30 residents in Dongjiang Town, Wudu District, who faced resettlement, gathered at the city's government around 9:30 a.m. on Monday, asking the authorities for proper solutions concerning their farmland, housing and livelihoods.     The unrest resulted from a planned relocation of the city's government which would force the residents to be resettled.     The protesters talked with some officials on Monday but they failed to reach any agreement. On Monday night, more people joined them and some of the protesters attacked government buildings, damaged vehicles and facilities, and injured some policemen who tried to maintain order, according to a report of the provincial government.     The government's relocation plan has not been approved by the central government yet, the report said.

BEIJING, Oct. 18 (Xinhua) -- China should pay more attention to its grain security in rural reform, said Jia Qinglin, the country's top political advisor, here on Saturday.     It should be a top priority to maintain grain production when the country develops modern agriculture, said Jia, chairman of Chinese People's Political Consultative Conference (CPPCC) National Committee, when the third meeting of the CPPCC National Committee's Standing Committee concluded here.     "China should stick to the most strict system to protect farming land."     During the four-day meeting, senior political advisors reviewed the decision on rural development and reform made at the third Plenary Session of the 17th Communist Party of China (CPC) Central Committee.     They exchanged views and presented valuable ideas on rural reform, said a statement issued after the meeting.     "We should realize new situations and problems China faces in rural economic and social development, as well as urgency and responsibility to push forward rural reform," Jia said.     The CPPCC would work on proposals on system building, agriculture and public service development in rural areas.     He also asked political advisors to watch and study the global financial turmoil's impact on the domestic economy and contribute their talent to the administration.

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BEIJING, Jan. 26 (Xinhua) -- Finance Minister Xie Xuren said Monday there would be growing difficulty balancing China's budget this year, and he urged officials to avoid unnecessary spending.     In a Lunar New Year greeting on the ministry's homepage, Xie said that the external and internal conditions affecting China's social and economic development in 2009 were "very severe" and more difficulties had to be overcome to achieve "steady and relatively fast" economic growth.     Xie said government funds should be used efficiently as the government carried out an active fiscal policy to support public investment while cutting taxes.     To stimulate the economy, the government has raised export tax rebates three times since July, increased farm subsidies and endedthe value-added tax for equipment purchases -- a move that's expected to reduce companies' tax bills by 120 billion yuan (about 17.4 billion U.S. dollars) a year.     Moreover, the threshold for individual income tax, which now stands at 2,000 yuan per month, is likely to rise.     Although 2008 fiscal revenue grew an estimated 19 percent from 2007 to some 6 trillion yuan, the economic slowdown, falling corporate profits and tax cuts drove down fiscal revenue in the second half of last year.     Last year, the economy grew 9 percent year-on-year, ending a five-year period of double-digit growth.     Xie said earlier this month that the fiscal decline might continue this year. The Finance Ministry has imposed tighter controls on the general administrative expenditure of local governments.     For example, local governments have been ordered to limit the year's spending on car purchases, meetings, catering and overseas travel to no more than the amounts spent last year.     Jiangxi Province has urged officials to avoid unnecessary travel and vowed to cut meeting outlays by 20 percent from the 2008 level, catering expenses by 10 percent, and international business travel costs by 10 percent.     Many local governments, meanwhile, said they would step up investment spending in 2008. Shaanxi Province, for example, said it planned to invest 40 billion yuan in education, job re-training, public sanitation and social security, up 21 percent from last year, while Henan Province will invest 40 billion yuan to raise living standards.     These and other local governments announced investment plans after the central government put together a 4-trillion-yuan stimulus package in response to ebbing growth.

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ASTANA, Oct. 29 (Xinhua) -- Chinese Premier Wen Jiabao arrived here Wednesday evening, starting a three-day official visit to Kazakhstan at the invitation of Kazakh Prime Minister Karim Masimov.     Wen is scheduled to attend the 7th prime ministers' meeting of the Shanghai Cooperation Organization (SCO). Chinese Premier Wen Jiabao (R, front) is greeted by Kazakh Prime Minister Karim Masimov upon his arrival at the airport in Astana, capital of Kazakhstan, Oct. 29, 2008. In a written statement upon his arrival at the airport, Wen spoke highly of the sound development of Sino-Kazakh relations since the two countries forged diplomatic ties 16 years ago.     He said his current visit is aimed at promoting mutual understanding and trust between the two peoples, enhancing substantial bilateral cooperation in various fields, and pushing forward the development of the bilateral strategic partnership which was set up in 2005. Chinese Premier Wen Jiabao (R) is presented flowers upon his arrival at the airport in Astana, capital of Kazakhstan, Oct. 29, 2008.During the visit, Wen will have an in-depth exchange of views with Kazakh leaders on bilateral relations and other issues of common concern. He will also discuss the promotion of cooperation within the SCO with his counterparts from other SCO member states.     The Chinese premier also expressed the belief that his visit would be a success given the efforts by both sides. Chinese Premier Wen Jiabao (R, front) is greeted upon his arrival at the airport in Astana, capital of Kazakhstan, Oct. 29, 2008.Kazakhstan is the second leg of Wen's two-nation tour which has already taken him to Russia where he held talks with his Russian counterpart Vladimir Putin at the 13th regular meeting between Chinese and Russian prime ministers, and met with Russian President Dmitri Medvedev and parliament leaders.     Wen and Putin also attended the third Sino-Russian economic and trade forum in Moscow.     The two sides issued a joint communique Tuesday, and signed a series of cooperation agreements in such fields as economy, trade, science and technology, energy and culture.

BEIJING, Oct. 29 (Xinhua) -- China's central bank, the People's Bank of China (PBOC), announced on Wednesday it would cut benchmark interest rates by 0.27 percent to spur economic growth as of Oct. 30.     The benchmark one-year deposit rate would drop to 3.60 percent from 3.87 percent, while the benchmark one-year lending rate would fall from 6.93 percent to 6.66 percent.     This is the second such move in less than one month, highlighted the government's rising concern over the slowing economy and slumping capital market.     The previous was on Oct. 8, when the PBOC announced to cut deposit and lending rates was lowered by 0.27 percentage points and decided to cut the reserve-requirement ratio by 0.5 percentage points from Oct. 15.     "It reflects that the government is worried about a cooling down economy and other domestic problems, amid a deepening U.S.-originated world credit crisis, " said Tang Min, China Development Research Foundation deputy secretary.     China's gross domestic product (GDP) grew to 20.16 trillion yuan (2.96 trillion U.S. dollars) in the first three quarters of this year, up 9.9 percent from the same period of last year.     The growth rate was 2.3 percentage points lower than the same period of last year, and half a percentage point lower than the first half.     "This was also a timely response to the rate cuts by other central banks worldwide and part of a coordinated effort to stem the global financial crisis, " said Tang.     The recent intensification of the financial crisis has augmented the downside risks to growth and thus has diminished further the upside risks to price stability, experts say.     Tang added, the easing in inflation has given room for the authorities to loosen monetary policy. Inflation is no longer a threat with the declining commodities prices.     China's consumer price index (CPI), the main gauge of inflation, rose 4.6 percent in September over the same period last year, off from the 12-year high of 8.7 percent in February.     "A lower interest rate will help domestic enterprises to cut business costs, and boost economic development. This is in line with the country's expectation," Tang noted.     Zhuang Jian, senior economist with Asia Development Bank echoed with Tang, saying a relaxed credit and financing environment is a key factor to enlarging domestic demand and boost consumption.     "Maintaining a fast and sound economic development is the government's top priority currently," Zhuang added.     However, Zhuang noted, monetary policy alone was not enough to boost domestic economy in the long term. Other fiscal policies were also very important.     Guo Tianyong, director of banking research center with Central University of Finance and Economics said, this move was also contribute to rebuilding people's confidence over the poorly-performing domestic stock market and real estate market.     China's stock market dropped more than 66 percent from its peak last October, while real estate prices continue to fall in recent months.     Last week, China announced an array of policies, including tax exemption and mortgage deposits reduction, to boost the falling real estate sector amid the global economic slowdown.     The interest rates on a mortgage for first time home buyers was cut by 0.27 percentage points as of Oct. 27. The floor for interest rates would be lowered to 70 percent of the central bank's benchmark rate, the central bank said.

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