[Abstract]The China-United Arab Emirates (UAE) Industrial Capacity Cooperation Park is a major cooperation project to implement the consensus reached by the leaders of the two countries. The project is also vital for deepening international capacity cooperation and serve the building of the Belt and Road. Recently, the research team of China Center for International Economic Exchanges visited the project and believe that the operational model and successful experience of the demonstration park can help Chinese enterprises, especially state-owned enterprises expanding their business abroad, to better participate in the building of the and Road.
[Abstract]Global free trade port has a history of more than 400 years and it can provide China with valuable experience in building a successful free trade port. By analyzing the development of free trade ports in Singapore, Dubai, Hong Kong and Rotterdam, we have found seven elements which are important for building successful free trade ports, namely, geographical location, economic support, rule of law, administrative efficiency, policy design, industrial function and human resource.
[Abstract]General-Secretary Xi Jinping has repeatedly emphasized that improving China’s soft power is important for achieving the two hundred-year goals and realizing the great rejuvenation of China. This has brought the building of soft power with cultural soft power as the core to an unprecedented higher level. In order to solve the problems in the building of soft power, we should improve China’s national soft power as soon as possible, and build a “five-in-one” soft power strategy system with Chinese characteristics to serve the strategic goals of China.
[Abstract]The further opening-up of the service industry is not only necessary for China’s promotion of economic globalization, but also an objective need to promote the high-quality development of the domestic service industry. Having considered the trade war launched by Trump administration and the protectionism, it is of great significance to further open up the service industry. China has established a service industry-dominated open economy since it began the reform and opening up. In 2017, the actual utilization of foreign investment in the service industry was $95.44 billion, accounting for 72.8% of the total foreign capital. The amount of foreign direct investment was $81.3 billion, accounting for 67.7% of the total. The import and export of services trade was $695.68 billion, making China the second largest trader for four consecutive years. However, the opening-up of China’s service industry still faces great challenges due to factors such as the level of development and the interests of different departments. To this end, the research team conducted fact-finding trips in Shanghai, Suzhou and Hangzhou in June this year and visited relevant government departments, industry associations and enterprises.
[Abstract]How to reduce the market risk is an important issue in promoting the market-oriented reform of grain purchase and sale. Insurance and futures are internationally recognized tools for managing market-related risks. The No. 1 document issued by the central government in 2016 and 2017 clearly stated that the “insurance + futures” pilot project should be steadily promoted. On September 26, 2018, the State Council issued the “Village Revitalization Strategic Plan (2018-2022)”, pointing out that we should improve our capability of reducing agricultural risk and one way to achieve that is to develop option and futures market for agricultural products, expand the “insurance + Futures” pilot project and explore the “order-based agriculture + insurance + futures” pilot program. With the joint efforts made by the commodity futures exchanges, futures and insurance companies, China’s “insurance + futures" pilot project has made great progress since it began in 2015.
[Abstract]Xinjiang is located at the intersection of the Silk Road and as a major channel connecting Asia and Europe, it has a unique locational advantage and is an important window to the west. In May 2014, the second central government’s meeting on Xinjiang proposed to make Xinjiang the core area of the Silk Road Economic Belt and great progress has been made since then. According to the national Belt and Road big data center, Xinjiang was in the 9th place in the ranking of the belt and road construction composite index. However, the financial development in Xinjiang is rudimentary and unable to meet the demand for financial services in the construction of core areas in Xinjiang.
[Abstract] During his visit to Laos in November 2017, President Xi Jinping and Laos’ President Bounnhang Vorachit signed a memorandum of understanding on the establishment of the China-Laos Economic Corridor and they agreed to speed up the connection between China’s Belt and Road initiative and Laos’ opening-up policies. The China-Laos Economic Corridor has opened up a new chapter for comprehensive strategic cooperation between China and Laos. It is of great practical significance for enhancing the well-being of the people and building a new community with a shared future for China and Laos.
[Abstract] The trade protectionism and unilateralism adopted by Trump since the beginning of his presidency has escalated the Sino-US trade disputes and soybean has become a target of the trade disputes. How to reduce our losses and seek new development path is one of the most urgent problems we have to solve.
[Abstract]Recently, the National Development and Reform Commission (NDRC) and China Center for International Economic Exchanges sent a delegation to Japan and Hong Kong discussing such issues as natural gas price management. Japan and Hong Kong are very small and the gas consumption groups are mainly concentrated in cities. Furthermore, the natural gas pipeline network in Hong Kong and Japan is similar to China’s urban gas distribution network and their reform path and operation model can provide us with significant reference to improve the price supervision of China’s urban gas distribution and deepen the reform of China’s natural gas price.
[Abstract]As of July 11 this year, the goods subject to the extra tariffs imposed by the US reached $250 billion, accounting for 11% of China’s total annual export. The hardest-hit areas are not the medium- and low-end manufacturing but the high-tech industry of China’s “Made in China 2025”, including aviation, new energy vehicles, and new materials. In response, China has started to levy a tax on chemical and energy commodities imported from the US. The involvement of energy such as oil and gas and new energy in the current Sino-US trade conflict will have a significant impact on the economy.
[Abstract]The countries along the Belt and Road region connect the two major energy consumption markets of Europe and Asia, and cover the major energy suppliers such as the Middle East, Central Asia and Russia. For some of the countries, energy is an important competitiveness but for some other countries, it could be a weak link. Therefore, strengthening energy cooperation is in line with the common interests of these countries and will bring them development opportunities. However, the cooperation also faces serious challenges due to different political environments and legal systems. The Belt and Road energy cooperation should build a common community with a shared energy interest, promote energy cooperation in key regions, and build suitable energy cooperation mechanisms.
[Abstract]The New-Old Momentum Transformation is a key link to promote high-quality development and modern economic system. There is a significant difference in economic development between the coastal cities in the east of China, central inland, northeastern and western regions. As the four most prosperous provinces, the GDP of Guangdong, Jiangsu, Shandong and Zhejiang accounted for 36.3% of China’s total GDP in 2017. From 2008 to 2011, the total GDP of Shandong and Jiangsu was in the top league but was overtaken by Guangdong from 2012 to 2015. Later on, Zhejiang also joined them in the top league.
[Abstract] Recently, a research team of the China Center for International Economic Exchanges conducted a fact-finding trip in the Yangtze River Delta, investigating the successful implementation of the “going out” and “bringing in” strategy. Some enterprises have brought in advanced technology and management experience through the “going out” strategy, while some enterprises have expanded their business abroad by cooperating with foreign-funded enterprises. However, they also face many difficulties when implementing these strategies. In response, we should make the best use of the “going out” and “bringing in” strategies, help Chinese enterprises integrate themselves into the global industrial chain, value chain and innovation chain, and make them more competitive in international cooperation and competition.
[Abstract] With the continuous development of the Belt and Road and the new open economic system, China’s participation in the international industrial chain has achieved positive results. We should take specific measures and move the industry to the middle and high-end industrial chain, and further improve the quality of China’s participation in the international industrial chain.
[Abstract] Smederevo steel plant is the largest steel company in Serbia with more than 5,000 employees. The company was in big troubles due to the civil war and poor management. The United Steel Group once acquired the Smederevo steel plant, but it did not manage to get the company out of trouble and created a lot of labor-management problems. In 2016, China’s Hebei Iron and Steel Group invested RMB 340 million to acquire the Smederevo steel plant and sent a team of experienced managers and technicians to manage the plant. Now, the Smederevo steel plant has become one of the most competitive companies in the European steel market, and 80% of its products are being sold to the EU countries, the income level of the enterprise’s workers has been significantly improved. As the world’s third largest steel company, Hebei Steel’s successful experience in overseas acquisitions is worth learning.
[Abstract]Recently, the China Center for International Economic Exchanges organized an expert group to visit the United States and exchanged views with famous American scholars on the latest developments in the China-US economic and trade relations. Experts and scholars from many influential organizations participated in the seminars, including think tanks representing the Democratic and Republican parties, Council on Foreign Relations, the Cato Institute, the Kissinger Institute on China and the United States at the Woodrow Wilson Center, the American Enterprise Institute, and the Carnegie Endowment for International Peace.
[Abstract]As one of the pillar industries of China’s economic development, the growth of the automobile manufacturing industry in recent years increased to more than double the growth rate of Gross Domestic Product (GDP). As of the end of 2017, China’s production capacity of vehicles exceeded 63 million units, but the sales of automobiles during the same period were less than 30 million units. In other words, the growth of new car sales has reached a stagnation. The export of second-hand car will indirectly enhance the domestic car purchase, accelerate circulation in the new car market, and effectively improve the capacity utilization of car enterprises. The export of used cars will help the entire industrial chain such as spare parts, insurance, and auto finance. The trade of used car can enhance vehicle replacement and optimize the automobile market structure continuously, which is conducive to the automotive industry and macroeconomic development.
[Abstract]At present, the United States is curbing the development of China’s high-tech industry, the EU has set up foreign acquisition reviewing mechanisms, together with Japan, they made a complaint to the World Trade Organization (WTO) about China’s “discriminatory regulations on technology patent licensing”. As a result, it has become increasingly difficult for China to acquire advanced foreign technology and brands through making cross-border mergers and acquisitions or invest in foreign high-tech enterprises and start-ups. The establishment of an institutional mechanism for independent innovation is the key to implement high-quality development, and improve the scientific and technological progress.
[Abstract] China’s socialist market economy implements a basic economic system in which the public ownership is the mainstay and the multiple forms of ownership are developed together. The state-owned economy plays a leading role means and is vital for the development of the national economy. It should focus on quality not just its proportion in the national economy. The control and influence of state-owned or state-controlled enterprises can be summarized in the following four aspects. First, the control of natural monopoly or monopoly on resource-based industries. Secondly, the control of important public goods and the industries that are vital to the national economy. Thirdly, the control of pillar industries or pilot industries. Lastly, the control of the special high-tech enterprises and important military enterprises. We must improve China’s basic economic system and adopt the changes in the major social contradictions, focus on solving problems of unbalanced development, vigorously improve the quality and efficiency of economic development, and meet people’s growing needs in the aspects of economy, politics, culture, social, and ecology.
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